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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


'ATONAL  BROADCASTING  COMPAHt.  1HC. 

^  _«irnM  l  IRRARY 


INDEX  TO  ISSUE  OF  JULY  2,  1940 


New  FM  Broadcasts  Now  Opened  To  Commercial  Use . 2 

New  Cleveland  Police  Radio  Station . 2 

Wartime  Central  News  Control  Planned . . . 3 

Amateur  Exams  Postponed  To  Aug.  1 . . . 4 

Would  Limit  Political  Broadcast  Scope . 4 

A.  P .  On  Air  In  N.  Y . 4 

FTC  Issues  Desist  Orders  In  Radio  Lotteries . 5 

Calls  FM  "Radio  Revolution" . . . 5 

FCC  Closes  Shop  For  The  Fourth . 6 

Virginia  Emergency  Net  Regatta  Tryout . 6 

Crosley  Television  To  Transmit  From  Cincinnati  Skyscraper . 7 

Enter  The  "Newspaper  Radio  Book" . 7 

Newspapers  Urged  To  Make  FM  Applications . .  . . .8 

Amateur  Favored  At  National  Soaring  Contest . .8 

From  The  FCC  Mail  Bag . 9 

Willkie  Kept  Promise  To  WLW . 10 

Mutual  Convention  Coverage  Cost  $9,200 . 10 

NBC  Divides  Sales  Groups . 10 

Children's  Survey  Taboos  Gangster  Programs . ...11 

Sees  Radio  Advertising  Usurping  Newspapers . 11 

RCA-Victor  4-|  Lb.  Radio  Proves  Fast  Seller . .12 

Death  Penalty  For  French  Radio  Senders . 12 


No.  1247 


July  2,  1940 


NEW  FM  BROADCASTS  NOW  OPENED  TO  COMMERCIAL  USE 


The  final  step  to  permit  launching  the  new  FM  (frequency 
modulation)  system  of  radio  broadcasting  on  a  commercial  basis 
has  been  taken  by  the  Federal  Communications  Commission  in 
approving  ’’Standards  of  Good  Engineering  Practice  Concerning  High 
Frequency  Broadcast  Stations"  and  a  new  application  blank  to 
accommodate  FM  broadcasters  on  their  new  basis. 

The  new  standards,  which  remove  FM  from  its  heretofore 
limited  experimental  use,  govern  the  technical  phases  of  the  pro¬ 
spective  commercial  service,  and  embrace  operation,  interference, 
equipment,  etc. ,  and  provide  a  chart  for  computing  the  signal 
range  on  the  frequencies  43,000  to  50,000  kilocycles  now  assigned 
to  FM.  These  standards  which  cover  14  typewritten  pages  bear 
the  same  relation  to  frequency  modulation  service  that  existing 
standards  do  for  amplitude  modulation  on  the  lower  frequencies. 

The  new  application  may  now  be  used  by  all  individuals 
and  groups  interested  in  applying  for  FM  facilities  on  a  comme:r- 
cial  basis,  including  the  nearly  150  parties  whose  applications 
for  FM  facilities  on  an  experimental  basis  were  returned  to  permit 
their  filing  for  commercial  use.  The  new  form  (Form  319)  is 
similar  to  Form  301  used  for  amplitude  modulation  broadcast 
applications,  but  revised  to  apply  to  FM  service  particularly. 

This  completes  the  official  acts  necessary  to  give  FM 
full  recognition.  Rules  applicable  to  FM  were  announced  last 
week,  about  a  month  after  the  Commission  decided,  on  the  basis  of 
hearing  held  in  March,  that  commercialization  is  in  the  public 
interest. 


Since  FM  is  now  on  a  standard  basis,  call  letters  hence¬ 
forth  issued  to  its  commercial  stations  will  consist  of  four 
letters  to  distinguish  them  from  the  combination  of  letters  and 
numerals  used  to  identify  experimental  stations. 

XXXXXXXXX 


NEW  CLEVELAND  POLICE  RADIO  STATION 


The  Cleveland  Police  Department,  WRPD,  has  been  granted 
a  license  to  cover  construction  permit  for  a  new  municipal  police 
land  station  on  a  frequency  of  33,500  kilocycles,  with  power  of 
15  watts. 

xxxxxxxxxx 

-  2  - 


7/2/40 


WARTIME  CENTRAL  NEWS  CONTROL  PLANNED 


Moving  in  utmost  secrecy,  the  Editor  &  Publisher 
reports,  aides  to  President  Roosevelt  in  matters  relating  to 
the  war  emergency  have  proposed  a  program  of  press  and  public 
relations,  installing  Lowell  Mellett,  former  editor  of  the 
Washington  Daily  News,  as  Director  of  Information,  to  begin 
functioning  if  danger  of  involvement  in  the  conflict  becomes  more 
pronounced. 

Censorship  likewise  would  be  under  Mr.  Mellett* s  super¬ 
vision  but  it  would  not  extend  to  newspapers  or  other  publications. 
The  right  of  press  freedom  is  constitutionally  guaranteed  even  in 
time  of  hostilities  and  the  experience  of  the  United  States  in 
the  World  War  has  convinced  Federal  officials  they  need  have  no 
concern  in  that  direction.  The  espionage  laws  would  be  invoked 
in  exceptional  cases  when  the  facts  warrant  so  drastic  a  step. 

The  program  is  an  extension  of  the  propaganda  policies 
instituted  by  Mr.  Roosevelt  when  he  created  the  National  Emergency 
Council  early  in  his  first  administration.  The  trend  toward 
centralization  of  press  and  public  relations  was  accelerated 
several  months  ago  when  the  name  of  that  agency  was  changed  to 
Office  of  Government  Reports  and  made  a  part  of  the  White  House 
executive  staff.  The  change  was  accomplished  through  a  reorgani¬ 
zation  order.  Mellett  had  been  director  of  N. E.C.  and  he  was 
retained  as  chief  of  the  0.  G.  R. 

The  revamped  policy  needs  only  the  signature  of  Presi¬ 
dent  Roosevelt  to  become  operative.  With  it  would  come  a  complete 
clamp  upon  information  from  bureaus  and  agencies,  requiring  all 
federal  news  to  clear  through  the  single  office.  As  Commander- in« 
Chief  of  the  Apny  and  Navy,  it  is  within  the  power  of  the  Presi¬ 
dent  to  subordinate  the  publicity  bureaus  of  the  armed  service  to 
the  central  distributing  agency  and  an  order  effecting  that  shift 
is  intended. 

The  Federal  Government  now  has  a  national  network  of 
trained  propagandists  which  operated  under  the  original  National 
Emergency  Council  and  was  co-ordinated  from  Washington.  Over¬ 
night  it  could  be  placed  on  wartime  basis. 

Radio  was  not  a  factor  in  the  World  War  but  has  become 
so  in  the  interim  and  the  Office  of  Government  Reports  is  ready 
for  the  new  medium.  Robert  Berger,  formerly  Radio  Director  for 
the  Democratic  National  Committee,  is  now  the  0.  G. R.  Chief  of 
Radio  Division.  His  task  will  not  be  a  difficult  one  because  the 
President  has  statutory  power  under  the  Federal  Communications 
Act  and  auxiliary  laws  to  take  any  or  all  commercially-operated 
stations  off  the  air.  No  such  power  is  available  against  claimed 
offenses  by  the  printed  word. 

XXXXXXXXXX 


3 


rU':  D  J. 


7/2/40 


AMATEUR  EXAMS  POSTPONED  TO  AUG.  1 


The  new  type  amateur  radio  operator  examinations 
scheduled  to  become  effective  July  1,  have  been  postponed  to 
August  1. 

This  postponement  was  made  necessary  because  of  the 
impossibility  of  completing  the  printing  of  the  examinations. 
The  present  examinations  will  therefore  be  continued  in  use 
until  August  1,  1940. 


XXXXXXXXXX 

WOULD  LIMIT  POLITICAL  BROADCAST  SCOPE 


Following  a  thorough  discussion  of  the  subject,  the 
Board  of  Directors  of  the  National  Association  of  Broadcasters 
at  a  meeting  held  in  New  York  expressed  the  view  that  political 
broadcasts  should  be  limited  to  speakers,  interviews  and  announce¬ 
ments,  and  to  broadcasts  of  bona  fide  political  meetings  or 
rallies  held  outside  the  studio. 

It  was  the  feeling  of  the  NAB  Board  that  stations  and 
networks  will  find  that  the  best  interests  of  the  industry  will 
be  served  by  a  broadcasting  policy  which  would  bar  the  following: 
dramatizations  of  political  issues,  either  in  the  form  of  announce¬ 
ments  or  programs;  studio  political  •'rallies’1 ;  audience  partici¬ 
pation  programs  such  as  the  ''Man  on  the  Street”  type;  anonymous, 
simulated  and  unidentified  voices  at  any  time. 

The  Board  discussed  the  matter  of  the  sale  of  time  on 
election  day,  and  came  to  the  conclusion  that  this  is  a  subject, 
in  some  states  affected  by  law,  within  the  decision  of  the 
individual  broadcaster.  They  also  discussed  but  took  no  action 
on  the  matter  of  limitation  to  not  more  than  one  hour  in  any  one 
evening  to  any  one  candidate. 

XXXXXXXXXX 


AP  ON  AIR  IN  N.  Y. 


A  24-hour  Associated  Press  news  printer  has  been  in¬ 
stalled  in  Station  MEW,  New  York,  on  a  one-year  agreement  with 
an  option  for  renewal.  The  contract  was  negotiated  through  the 
New  York  Daily  News,  AP  member  paper,  which  must  pay  a  basic  25$ 
additional  assessment,  according  to  AP  by-laws.  The  News,  in 
turn,  receives  compensation  from  the  radio  station  which  broad¬ 
casts  24.  hours  per  day.  The  news  broadcasts  will  be  sponsored 
by  several  of  WNEW  s  clients. 

XXXXXXXX 
-  4  - 


7/2/40 


FTC  ISSUES  DESIST  ORDERS  IN  RADIO  LOTTERIES 


The  Federal  Trade  Commission  has  issued  several 
orders  prohibiting  dealers  from  using  lottery  methods  in  connec¬ 
tion  with  the  sale  of  their  products,  to  ultimate  consumers. 

Among  these  was  respondent  Sara  Guttman,  trading  as  Standard  Sales 
Co.,  2363  Milwaukee  Ave.,  Chicago,  dealer  in  radios,  clocks, 
watches,  fishing  tackle,  cameras,  pen  and  pencil  sets,  billfolds 
and  wood  statuettes;  also  respondent  Morton  Cohen,  trading  as 
Lee-Moore  &  Co.  and  as  Adwell  Sales  Co.,  180  West  Adams  St., 
Chicago,  distributor  of  radios,  knives,  cigar  lighters  and  other 
article  s. 


The  respondents  were  ordered  to  cease  selling  or  dis¬ 
tributing  merchandise  so  packed  and  assembled  that  sales  to  the 
general  public  may  be  made  by  means  of  a  lottery,  game  of  chance, 
or  gift  enterprise. 

The  Chicago  dealers  were  further  ordered  to  cease  sup¬ 
plying  to  or  placing  in  the  hands  of  others,  punch  boards,  push 
or  pull  cards,  or  other  lottery  devices,  either  with  assortments 
of  merchandise  or  separately,  which  devices  may  be  used  in  selling 
or  distributing  any  merchandise  to  the  public. 

xxxxxxxxx 


CALLS  FM  “RADIO  REVOLUTION” 


In  the  current  Saturday  Evening  Post  is  an  article 
an  article  “Comes  the  Radio  Revolution"  by  Samuel  Lube 11.  Adver¬ 
tising  this  article  the  Post  says: 

“There’s  something  new  in  radio,  which  is  giving  the 
industry  the  jitters.  It’s  called  ’frequency  modulation’,  or 
FM,  and  it  means  a  new  kind  of  noise-free,  high-fidelity,  static¬ 
less  broadcasting  that  can  be  tailor-made  to  fit  the  air  waves. 
But  it  also  means  a  revolution  in  transmission  methods  and  a 
complete  change  of  receiving  sets  throughout  the  nation.  That’s 
why  there’s  trouble  brewing  in  the  council  chambers  of  the  radio 
industry  -  and  why  it’s  being  aired  before  the  FCC.  Here  is  your 
chance  to  sit  in  as  judge. “ 

XXXXXXXXX 

Special  temporary  authority  has  been  granted  to  Station 
WINS  in  New  York  to  operate  from  9:15  P.M.  to  midnight,  EST,  on 
July  9th,  in  order  to  broadcast  the  All-Star  Boxing  Show  for  the 
benefit  of  the  New  York  City  Milk  Fund. 

XXXXXXXXX 

-  5  - 


7/2/40 


FCG  CLOSES  SHOP  FOR  THE  FOURTH 


Taking  advantage  of  the  respite  offered  by  the  approach¬ 
ing  holiday,  practically  all  of  the  members  of  the  Federal  Com¬ 
munications  Commission  have  left  Washington  not  to  return  until 
after  the  Fourth  of  July. 

No  official  business  will  be  transacted  until  next 
week  and  even  then  the  presence  will  be  lacking  of  Col.  Thad 
Brown  who,  up  to  now,  has  failed  to  be  confirmed  by  the  Senate 
and  whose  term  of  office  in  the  meantime  has  expired.  It  is 
expected,  however,  that  Colonel  Brown  eventually  will  be  confirm¬ 
ed  by  the  Senate  but  it  is  not  known  exactly  how  strong  the 
charges  against  him  will  be  pressed. 

XXXXXXXX 


VIRGINIA  EMERGENCY  NET  REGATTA  TRYOUT 


Special  permission  has  been  given  by  the  Federal  Com¬ 
munications  Commission  to  a  group  of  amateurs  in  the  vicinity  of 
Hampton  Roads,  Va. ,  to  practically  test  their  emergency  communi¬ 
cations  system  during  the  Hampton  Regatta  from  July  4  to  7.  The 
operators’  stations  included  are: 

Carl  Probst,  W3AJA,  Hampton,  Va. ;  Walter  G.  Walker, 

W3AKN,  Newport  News,  Va.  ;  John  Needre,  W3GGI,  Newport  News,  Va.  ; 

A.  Curtis  Bryant,  W3GGP,  Newport  News,  Va.  ;  W.  Raymond  Burrows, 
W3HJW,  Hampton  Institute,  Hampton,  Va. ;  Maj.  Edmund  C.  Lynch, 

W3HWJ,  Langley  Field,  Va.  ;  Harry  A.  Morewitz,  W3IAN,  Newport  News, 
Va.  ;  L.  L.  Stoner,  W3ICZ,  Newport  News,  Va.  ;  P.  B.  Schroder,  W3IEX, 
Hampton  Institute,  Hampton,  Va. ,  and  A.  C.  Jones,  W3NE,  Hampton, Va. 

These  amateurs  located  in  one  of  the  most  important  naval 
strategic  national  defense  points  in  the  United  States  and  also 
in  a  storm  area  which  frequently  jeopardizes  shipping  and  life 
and  property,  have  banded  together  to  provide  more  effective 
emergency  communication  in  the  event  of  tropical  hurricanes  or 
other  emergencies  which  might  arise  in  the  lower  part  of  the 
Virginia  Peninsula. 

They  have  constructed  portable-emergency  equipment  and 
regularly  hold  drills  to  test  the  equipment  and  operating  methods. 

XXXXXXXX 

NOTE :  DUE  TO  THE  FACT  THAT  THE  GOVERNMENT  OFFICES  ARE  TO 

BE  CLOSED  FOURTH  OF  JULY,  THERE  WILL  BE  NO  ISSUE  OF  THIS  SERVICE 
ON  FRIDAY,  JULY  5TH. 


xxxxxxxxx 

-  6  - 


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•  a  r 


•j  \T 


7/2/40 


CROSLEY  TELEVISION  TO  TRANSMIT  FROM  CINCINNATI  SKYSCRAPER 


Following  assignment  to  Powel  Crosley,  Jr.  ,  to  the 
main  channel,  on  a  band  ranging  from  50,000  to  56,000  kilocycles, 
by  the  Federal  Communications  Commission,  announcement  was  made 
by  James  D.  Shouse,  General  Manager  of  WLW,  that  the  new  tele¬ 
vision  transmission  station  would  be  located  in  the  top  of  the 
Carew  Tower,  48- story  Cincinnati  skyscraper. 

XXXXXXXX 


ENTER  THE  "NEWSPAPER  RADIO  BOOK" 


Described  as  a  "Newspaper  Radio  Book",  an  advertising 
feature  appeared  for  the  first  time  anywhere  in  a  recent  edition 
of  the  Washington  (D. C. )  Sunday  Star. 

Employing  two  full  pages,  the  innovation  carries  radio 
programs  for  a  full  week  with  space  divided  equally  between  pro¬ 
gram  schedules  and  advertising  copy.  The  potential  "pull"  for  a 
full  week  made  it  possible  for  the  Star  to  obtain  premium  rates 
for  space.  One  solicitor  sold  out  the  available  linage  on  that 
basis  within  one  week. 

When  folded  according  to  printed  instructions,  the  sheet 
becomes  a  16-page  booklet.  The  first  page  lists  recommended 
programs  for  Sunday  and  for  the  week.  Opened,  each  left  page 
carries  a  day's  program  and  each  right  page  displays  advertising 
copy,  sold  only  in  units  of  full  or  half  column. 

The  Star  is  designing  a  substantial  cover  into  which 
the  sheared  pages  may  be  easily  slipped.  Designed  by  Gene  Flynn 
of  Lewis  Advertising  Agency,  who  has  applied  for  patent,  the 
newspaper  radio  book  is  available  to  one  newspaper  in  any  commun¬ 
ity  for  a  flat  charge  measured  on  linage. 

XXXXXXXXXX 


Authority  has  been  given  to  McNary  &  Chambers,  radio 
engineers  of  Washington,  D.  C. ,  to  make  tests  of  possible  trans¬ 
mitter  sites  in  the  vicinity  of  Schenectady,  N.  Y. ,  to  more 
accurately  determine  the  results  of  operation  of  the  proposed 
station  W10XMC  on  1190  kc.  ,  to  be  operated  in  the  area  of 
Schenectady  pending  action  on  formal  application  for  a  develop¬ 
mental  broadcast  station. 

XXXXXXXX 


7 


7/2/40 


NEWSPAPERS  URGED  TO  MAKE  EM  APPLICATIONS 


Urging  publications,  large  and  small  to  take  out  FM 
licenses  and  not  to  be  caught  napping  as  the  papers  were  in  the 
beginning  of  broadcasting,  Editor  &  Publisher  makes  the  follow¬ 
ing  appeal  to  its  readers: 

"Members  of  the  Inland  Daily  Press  Association  recently 
heard  an  enlightening  discussion  of  the  possibilities  of  radio 
transmission  by  frequency  modulation.  This  page  has  referred 
often  to  this  technical  advance  in  broadcasting,  and  it  reminds 
its  newspaper-maker  readers  again  that  the  new  development  may 
mean  much  to  newspapers  large  and  small. 

"We  understand  that  applications  for  licenses  to  broad¬ 
cast  with  FM  transmitters  are  being  received  by  the  Federal  Com¬ 
munications  Commission  and  that  these  applications  will  be  con¬ 
sidered  on  and  after  Jan.  1,  1941.  It  is  stated  also  that  com¬ 
mercial  broadcasting  by  FM  may  be  approved  as  of  that  date. 

"This  method  permits  broadcasting  with  remarkable  fidel¬ 
ity  of  reproduction  by  ultra  short  wave  over  short  ranges.  Its 
original  cost  is  said  to  be  two-thirds  of  present  installation 
cost  and  its  maintenance  also  promises  to  be  cheaper.  That  may 
let  small  city  newspapers  in  for  a  new  and  disturbing  form  of  com¬ 
petition,  if  possible  competitors  get  their  applications  filed 
before  the  newspapers  act.  Newspapers  can  present  a  more  meri¬ 
torious  case  for  the  rendition  of  public  service  by  radio  than 
any  other  commercial  interest,  but  it  must  not  be  forgotten  that 
priority  of  application  often  carries  weight  in  official  circles. 

"Unless  the  small  city  newspapers  want  to  be  left  at 
the  post  now  as  their  metropolitan  brethren  (with  some  important 
exceptions)  were  with  pioneer  broadcasting,  immediate  action  is 
important.  " 


xxxxxxxxxx 


AMATEUR  FAVORED  AT  NATIONAL  SOARING  CONTEST 


That  John  M.  Mulligan,  of  Elmira,  N.  Y. ,  an  amateur 
operating  Station  W8USA  might  render  a  voluntary  communication 
service  in  connection  with  the  11th  National  Soaring  Contest  which 
will  continue  in  the  vicinity  of  Elmira  until  July  14th,  the  Feder¬ 
al  Communications  Commission  has  given  him  special  permission  to 
operate  portable  and  portable-mobile  amateur  radiotelephone  equip¬ 
ment  on  amateur  frequencies  between  28,500  and  30,000  kilocycles. 

XXXXXXXX 


8 


7/2/40 


FROM  THE  FCO  MAIL  BAG 


Individually  disgruntled  radio  fans  still  deluge  the 
Federal  Communications  Commission  with  their  particular  complaint 
about  this  or  that  radio  program,  according  to  the  FCC  Press  * 

Department.  Few  well-known  programs  -  or  artists  -  escape  men¬ 
tion  at  one  time  or  another  in  such  letters.  As  constantly  re¬ 
iterated,  the  Commission  has  no  authority  to  censor  individual 
programs  or  performers.  Some  idea  of  the  type  of  squawks  in  which 
the  Commission  lacks  jurisdiction  may  be  gleaned  from  recent  ’’pan” 
mail : 


Various  letters  object  to  the  air  utterances  by  Col.  Charles 
A.  Lindberg,  Hanford  McNider,  Frank  Gannett,  Judge  John  A.  Matthews, 
Earl  Browder,  and  others. 

A  New  Yorker  wants  the  radio  team  of  Burns  and  Allen  barred 
from  the  air  because  he  doesn’t  find  some  of  their  jokes  funny. 

A  Californian  doesn’t  agree  with  H.  V.  Kaltenbom’s  news 
interpretations. 

Another  Californian  resents  certain  airy  statements  by  Jack 
Benny. 

On  the  other  hand,  a  New  Yorker  voices  indignation  at  a  Fred 
Allen  wisecrack. 

And  at  least  one  Californian  doesn't  write  highly  of  Bob  Hope. 

Also,  one  Californian's  ears  do  not  seem  attuned  appreciably 
to  Cab  Calloway’s  music. 

One  of  Walter  Winchell's  fellow  New  Yorkers  is  irked  by  a 
statement  by  the  former. 

An  Oklahoman  would  like  to  see  young  ears  closed  to  "Stella 
Dallas ". 

A  Connecticut  man  feels  that  he  has  been  personally  stung  by 
"The  Green  Hornet"  series. 

A  Pennsylvania  man  would  like  to  have  "Confidentially  Yours" 
publicly  censured. 

A  Tennessean  is  aroused  by  the  "Court  of  Missing  Heirs"  pro¬ 
gram. 

"What’s  My  Name"  brings  criticism  over  the  name  of  a  New 
Jersey  listener. 

A  New  Yorker  didn't  relish  the  network  presentation  of  "Abe 
Lincoln  of  Illinois. " 

Another  resident  of  that  city  is  dismayed  by  "This  Amazing 
America  ", 

The  "Dr.  I.Q.  "  programs  prompts  a  Californian  to  ask  some 
questions  of  his  own. 

"Information  Please"  registers  objection  from  one  New  Yorker. 

Even  the  "National  Fhrm  and  Home  Hour"  brought  a  critical 
letter  from  Pennsylvania. 

And,  last  but  not  least,  the  numerous  contest  programs  invite 
numerous  letters  to  the  Commission  from  listeners  who  think  they 
are  also  entitled  to  prizes. 

XXXXXXXX 

-9  - 


7/2/40 


WILLKIE  KEPT  PROMISE  TO  WLW 


A  major  political  scoop  was  claimed  by  radio  station 
WLW,  Cincinnati,  Wednesday  night  during  the  Republican  National 
Convention  when  it  secured  the  first  air  interview  during  the 
convention  by  Wendell  L.  Willkie.  At  the  very  start  of  the  con¬ 
vention,  Willkie  promised  Fred  Thomas,  script  writer  for  WLW,  and 
Peter  Grant,  ace  announcer,  that  he  would  appear  on  an  interview 
program  with  Grant. 

As  his  campaign  picked  up  speed,  networks  and  other  sta¬ 
tions  clamored  for  interviews  with  ViTillkie,  but  the  man  who  now 
is  the  Republican  standard  bearer  refused  because  of  the  pressing 
nature  of  campaign  conferences.  But  -  he  kept  his  promise  to  WLW 
and  went  on  the  air  from  6:45  to  7:00  P.M.,  June  26. 

Cecil  Carmichael,  assistant  to  James  D.  Shouse,  General 
Manager  of  WLW,  went  to  Willkie 1 s  room  shortly  before  the  schedul¬ 
ed  broadcast  and  escorted  him  to  WLW  headquarters  in  the  Benjamin 
Franklin  Hotel.  This  was  also  Willkie' s  headquarters.  A  freight 
elevator  was  used  to  take  the  candidate  to  the  floor  on  which  the 
studios  were  located  and  to  return  him  to  his  own  room. 

XXXXXXXX 


MUTUAL  CONVENTION  COVERAGE  COSTS  #9,200 


The  Mutual  network  devoted  33  hours  and  57  minutes  to 
the  Republican  National  Convention.  Total  operating  costs  were 
#8,000.  Loss  in  commercial  revenue  accounted  for  an  additional 
#1,200. 


XXXXXXXX 

NBC  DIVIDES  SALES  GROUPS 


The  NBC  Central  Division  network  sales  department  will 
be  divided  into  two  distinct  groups,  one  devoting  its  attention 
to  the  Red  network  and  one  to  the  Blue. 

The  Blue  Sales  Department  will  be  headed  by  Paul  McCluer 
as  Manager  and  Floyd  Van  Etten  will  serve  as  Traffic  Manager. 

Harry  C.  Kopf  becomes  Central  Division  Sales  Manager 
for  the  Red  Network,  with  James  J.  Neale  as  Sales  Traffic  Manager. 

XXXXXXXX 


10  - 


>j  ■ 


I 


7/2/40 


CHILDREN’S  SURVEY  TABOOS  GANGSTER  PROGRAMS 


Interest  in  gangster  and  other  similar  radio  thriller 
programs  is  falling  off,  according  to  a  survey  of  children’s 
programs  taken  by  the  United  Parents’  Associations  of  New  York 
City. 

While  45.3  percent  of  the  children  held  that  they  liked 
to  listen  to  adventure  and  mystery  programs,  they  drew  a  definite 
line  against  the  more  gruesome  thrillers  and  over-exciting  myster¬ 
ies  such  as  ’’Gang  Busters",  "The  Shadow"  and  "Superman",  the 
survey  reported. 

Among  the  programs  commended  by  the  children  were  "The 
Lone  Ranger",  "Sky  Blazers",  "Ellery  Queen",  "I  Love  a  Mystery", 
"Five  Star  Final"  and  "One  of  the  Finest". 

Also  high  in  the  approved  list  were  "Information  Please" 
"Cavalcade  of  America",  and  the  Charlie  McCarthy  and  Jack  Benny 
programs. 


xxxxxxxx 

SEES  RADIO  ADVERTISING  USURPING  NEWSPAPERS 


Addressing  the  Newspaper  Advertising  Executives’  Associa 
tion,at  Chicago,  Harvey  R.  Young  of  the  Columbus  Pi spatch  said 
that  radio  is  usurping  newspapers  as  the  basic  advertising  medium 
in  the  national  field,  although  it  has  not  seriously  affected  news 
paper  circulations.  He  advocated  a  sharper  cleavage  between  news¬ 
paper  and  radio  sales  organizations  in  those  instances  where  news¬ 
papers  own  or  control  radio  stations.  He,  too,  urged  less  com¬ 
petitive  selling  among  dailies  and  a  united  greater  effort  to 
regain  the  national  advertiser's  esteem. 

Mr.  Young  cited  figures  to  show  that  a  more  convincing 
selling  message  can  be  put  across  in  a  half  page  ad  in  a  given 
list  of  newspapers  than  in  radio  commercials  on  the  average  net¬ 
work  program.  National  advertisers,  he  said,  don’t  give  news¬ 
papers  a  fair  trial,  emphasizing  that  number  of  insertions  and 
amount  of  linage  have  a  definite  bearing  on  newspaper  results. 

He  warned  NAEA  members  that  radio  is  apparently  getting  ready  to 
invade  the  retail  field  with  greater  effort,  asserting  that  at 
conferences  already  held  radio  is  insisting  on  52-week  contracts 
for  retailers.  He  expressed  confidence  in  newspapers’  ability 
to  meet  this  invasion  and  suggested  3etter  Business  Bureaus  watch 
local  radio  programs  more  carefully  as  to  commercial  plugs  which 
may  deceive  the  buying  public. 

XXXXXXXXX 


11  - 


7/2/40 


RCA-VICTOR  4i  LB.  RADIO  PROVES  FAST  SELLER 


According  to  New  York  advices,  the  new  RCA-Victor  Book- 
Size  $20  radio  was  a  sell-out  on  the  first  day.  One  of  the  large 
New  York  department  stores  advertised  the  novelty  as  follows: 

’’Initialed  for  you  without  charge.  Complete  with  bat¬ 
teries.  As  easy  to  carry  as  a  camera.  Goes  into  your  airplane 
luggage,  your  knitting  bag,  your  brief  case,  picnic  basket.  It’s 
only  three  inches  high,  three  and  eleven-sixteenths  wide,  eight 
and  seven-eights  long.  Neat  as  a  modern  cigarette  case,  compact, 
self  contained.  The  antenna  is  hidden  in  the  cover  which  you  lift 
to  turn  set  on.  Plays  where  many  portables  have  failed.  We  even 
tested  it  in  the  subway  and  the  Long  Island  Railroad  station, 
where  it  worked  even  though  conflicting  noises  made  hearing  dif¬ 
ficult.  New  type  supersensitive  circuit  just  perfected  by  RCA- 
Victor.  Wonderful  tone  and  volume  rivals  that  of  table  models 
and  delights  lovers  of  fine  music.  Shoulder  carrying  strap,  50/. ” 

XXXXXXXX 


DEATH  PENALTY  FOR  FRENCH  RADIO  SENDERS 


Two  severe  orders  were  issued  by  the  military  authorit¬ 
ies  in  Paris,  one  signed  by  General  Walther  von  Brauchitsch, 
Commander  in  chief  of  the  German  armies,  demands  that  all  radio 
sending  apparatus,  even  that  made  by  amateurs,  be  turned  over  to 
the  nearest  German  military  post. 

This  order  includes  portable  generators,  batteries  and 
all  other  accessories.  All  persons  who  keep  apparatus  of  any  sort 
or  accessories  notwithstanding  this  order  will  be  punished  with 
death,  hard  labor  or  imprisonment. 

Paris  newspapers  have  published  eight  decrees  of  the 
German  authorities  among  which  are: 

The  publishing  of  material  harmful  to  Germany  is  forbidden. 

The  listening  publicly  or  alone  to  non-German  or  unauthor¬ 
ized  radio  broadcasts  is  forbidden. 

Spreading  anti-German  news  by  radio  or  any  other  means 
is  strictly  forbidden. 

German  laws  shall  be  applicable  to  all  cases  brought 
before  military  tribunals  for  trial. 

.  XXXXXXXXXX 


12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


Fly  Says  Defense  Plans  Should.  Not  Alarm  Broadcasters . 2 

Rules  Affecting  Radio  Operators  Tightened . 3 

Thad  Brown  To  Get  Another  Grilling . 4 

Canada  Raises  War-Time  Taxes  On  Radios . 4 

Fly,  Johnson  To  Address  NAB  Convention . 5 

Radio  Exports  Make  Partial  Recovery . 6 

Democratic  Convention  Not  To  Be  Televised . 6 

KGKB  Revocation  Is  Affirmed . 7 

Fair  To  Honor  Broadcasters  August  3 . 7 

Radio  Engineers  Sought  For  Government  Employment . 9 

FCC  Joins  In  Hunt  For  False  SOS  Radio  Report . 9 

Trade  Notes . 10 

I.  T.  &  T.  Income  Shows  Spurt  For  Quarter . .....11 

Sponsored  News  May  Be  Banned  In  Canada . 11 

Philco  Stock  Offered  Public  This  Week . . . 12 


July  9,  1940 


FLY  SAYS  DEFENSE  PLANS  SHOULD  NOT  ALARM  BROADCASTERS 


Seeking  to  quiet  the  fear  among  broadcasters  that  the 
Government  may  take  over  the  operation  of  radio  stations  in  case 
of  war,  James  L.  Fly,  Chairman  of  the  Federal  Communications  Com¬ 
mission,  this  week  at  his  regular  press  conference  reiterated  a 
statement  that  the  industry  has  nothing  to  worry  about. 

The  FCC  Chairman  said  he  knew  of  no  reason  why  radio 
advertisers  should  not  continue  to  sign  contracts  for  the  usual 
periods. 


“There  is  no  reason  in  the  world”,  he  said,  “why  com¬ 
mercial  organizations  and  commitments  should  not  continue  unim¬ 
peded.  “ 


Chairman  Fly  insisted  that  the  FCC  has  no  plans  to 
assume  “sweeping  control”  over  broadcasting  activities  in  event 
of  national  emergency. 

In  response  to  questions,  Mr.  Fly  asserted  “our  Govern¬ 
ment  isn't  qualified  to  take  over  broadcasting.  “ 

"Of  course”,  he  added,  “if  we  should  ever  get  into  war, 
there  will  be  some  particular  things  the  Government  would  have  to 
do,  but  there  would  be  nothing  done  of  a  sweeping  character 
affecting  the  broadcasting  industry. " 

Mr.  Fly  said  there  was  no  occasion  now  and  expressed 
hope  there  never  would  be  for  the  radio  industry  “to  become  alarm¬ 
ed  about  plans  for  defense. “ 

“There  is  every  reason  the  industry  should  not  be  alarm¬ 
ed",  he  continued.  “Our  plans  are  to  leave  private  operations  in 
private  hands  to  continue  to  perform  the  functions  they  are  now 
performing. " 

xxxxxxxx 

The  Federal  Communications  Commission  has  granted  the 
application  of  Joe  W.  Engel,  for  a  new  station  in  Chattanooga, 

Tenn. ,  to  operate  on  the  frequency  1370  kc.  with  250  watts,  unlim¬ 
ited  time,  upon  condition  that  permittee  shall  file  an  application 
for  modification  of  construction  permit  specifying  exact  transmitter 
location  within  two  months  after  effective  date  of  order. 


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RULES  AFFECTING  RADIO  OPERATORS  TIGHTENED 


New  rules  to  strengthen  and  make  more  definite  certain 
prohibitions  with  respect  to  conduct  of  commercial  and  amateur 
radio  operators  were  approved  Friday  by  the  Federal  Communications 
Commission,  effective  immediately. 

Under  authority  contained  in  the  Communications  Act,  the 
Commission  amended  its  "Rules  Governing  Amateur  Radio  Stations 
and  Operators"  as  follows: 

Sec.  12.28  Obscenity,  Indecency,  profanity.  No 
licensed  radio  operator  or  other  person  shall  transmit 
communications  containing  obscene,  indecent,  or  profane 
words,  language,  or  meaning. 

Sec.  12.81  False  signals.  No  licensed  radio  opera¬ 
tor  shall  transmit  false  or  deceptive  signals  or  communi¬ 
cations  by  radio,  or  any  call  letter  or  signal  which  has 
not  been  assigned  by  proper  authority  to  the  radio  sta¬ 
tion  he  is  operating. 

Sec.  12.82  Unidentified  communications.  No  licens¬ 
ed  radio  operator  shall  willfully  or  maliciously  inter¬ 
fere  with  or  cause  interference  to  any  radio  communica¬ 
tion  or  signal. 

Sec.  12.30  Damage  to  apparatus.  No  licensed  radio 
operator  shall  willfully  damage,  or  cause  or  permit  to 
be  damaged,  any  radio  apparatus  or  installation  in  any 
licensed  radio  station. 

Sec.  12.50  Fraudulent  licenses.  No  licensed  radio 
operator  or  other  person  shall  obtain  or  attempt  to  ob¬ 
tain,  or  assist  another  to  obtain  or  attempt  to  obtain, 
an  operator  license  by  fraudulent  means. 

Likewise,  the  Commission  supplemented  its "Rules  Governing 
Commercial  Radio  Operators"  with: 

Sec.  13.64  Obedience  to  lawful  orders.  All  licensed 
radio  operators  shall  obey  and  carry  out  the  lawful  orders 
of  the  master  or  person  lawfully  in  charge  of  the  ship  or 
aircraft  on  which  they  are  employed. 

Sec.  13.65  Damage  to  apparatus.  No  licensed  radio 
operator  shall  willfully  damage,  or  cause  or  permit  to  be 
damaged,  any  radio  apparatus  or  installation  in  any  li¬ 
censed  radio  station. 

Sec.  13.66  Unnecessary,  unidentified,  or  superfluous 
communications.  No  licensed  radio  operator  shall  transmit 
unnecessary,  unidentified,  or  superfluous  radio  communica¬ 
tions  or  signals. 

Sec.  13. 67  Obscenity,  indecency,  profanity.  No 
licensed  radio  operator  or  other  person  shall  transmit 
communications  containing  obscene,  indecent,  or  profane 
words,  language,  or  meaning. 


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Sec.  13.68  False  signals.  No  licensed  radio  operator 
shall  transmit  false  or  deceptive  signals  or  communica¬ 
tions  by  radio,  or  any  call  letter  or  signal  which  has 
not  been  assigned  by  proper  authority  to  the  radio  sta¬ 
tion  he  is  operating. 

Sec.  13. 69  Interference .  No  licensed  radio  operator 
shall  willfully  or  maliciously  interfere  with  or  cause 
interference  to  any  radio  communication  or  signal. 

Sec.  13.70  Fraudulent  licenses.  No  licensed  radio 
operator  or  other  person  shall  obtain  or  attempt  to  ob¬ 
tain,  or  assist  another  to  obtain  or  attempt  to  obtain, 
an  operator’s  license  by  fraudulent  means. 

Under  these  provisions  the  Commission  clarifies  its 
authority  to  prosecute  as  well  as  suspend  licenses  in  cases  of 
violation. 


THAD  BROWN  TO  GET  ANOTHER  GRILLING 


The  Senate  Interstate  Commerce  Committee  isn’t  through 
with  Thad  H.  Brown  yet. 

After  an  executive  discussion  of  the  matter  yesterday 
(July  8),  the  Committee  decided  to  hold  a  third  hearing  at  10:30 
A.M.  tomorrow,  (Wednesday,  July  10). 

Meanwhile  Commissioner  Brown  is  without  authority  to 
participate  in  any  Federal  Communications  Commission  proceedings 
as  his  term  expired  June  30  and  he  is  off  the  Government  payroll 
until  the  Senate  acts. 

XXXXXXXXX 


CANADA  RAISES  WAR-TIME  TAXES  ON  RADIOS 


The  budget  introduced  in  Canadian  Parliament  effective 
June  25th  imposes  an  additional  "war  exchange"  tax  of  10  percent 
on  all  non-Empire  imports,  according  to  the  American  Legation  at 
Ottawa,  and  raises  the  excise  taxes  on  a  number  of  articles,  in¬ 
cluding  radios  and  radio  tubes,  both  imported  and  domestic.  The 
additional  tax  of  10  percent  on  all  imports  is  based  on  the  value 
for  duty  purposes,  whether  the  articles  are  free  or  dutiable, 
except  goods  entering  Canada,  under  the  British  preferential  tar¬ 
iff.  This  tax  will  be  subject  to  drawback  in  the  case  of  goods 
imported  for  further  manufacture  and  export  from  Canada,  as  in 
the  case  of  regular  import  duties.  A  new  excise  tax  of  10  per¬ 
cent  of  the  duty-paid  value  is  imposed  on  radios  and  radio  tubes. 

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FLY,  JOHNSON  TO  ADDRESS  NAB  CONVENTION 


James  Lawrence  Fly,  Chairman  of  the  Federal  Communica¬ 
tions  Commission,  and  Assistant  Secretary  of  War,  Louis  Johnson, 
will  address  the  convention  of  the  National  Association  of  Broad¬ 
casters  in  San  Francisco  next  month. 

This  will  be  the  first  appearance  of  Chairman  Fly  before 
an  NAB  convention.  Mr.  Johnson  will  speak  on  the  national  emer¬ 
gency  and  its  possible  effect  on  the  American  system  of  broad¬ 
casting.  The  convention  will  open  at  the  St.  Francis  Hotel  in 
San  Francisco,  August  4,  and  continue  through  August  7. 

Urging  that  every  station  be  represented,  Neville 
Miller  this  past  week  declared: 

"The  problems  which  radio  faced  in  the  past  pale  in 
comparison  with  those  it  faces  in  1940.  We  are  in  an  emergency 
period.  New  problems,  technical,  social  and  commercial  confront 
us.  We  are  setting  up  a  convention  program  designed  to  make  this 
a  well-informed  industry,  to  give  opportunity  for  all  views  to 
be  expressed,  evaluated  and  compared  before  final  formal  action 
is  taken.  What  is  done  at  San  Francisco  this  August  will  shape 
the  course  of  broadcasting  for  possibly  years  ahead.  Every  member 
owes  it  to  himself  to  have  a  voice  in  determining  the  decisions 
which  must  be  made. w 

A  comprehensive  report  on  BMI  and  a  full  review  of  the 
NAB  Code  are  features  of  an  agenda  which  includes  analyses  of  the 
labor  situation,  the  A.  F.  of  M. ,  wages  and  hours,  a  full  review 
of  FM,  reports  covering  legislative  matters  and  the  relations  of 
the  industry  with  government  and  advertisers. 

Of  wide  public  and  industry  interest  will  be  a  panel 
discussion  on  the  problems  of  special  events  broadcasting,  with 
particular  reference  to  coverage  of  the  war  and  the  handling  of 
political  broadcasting,  to  be  presided  over  by  Mark  Ethridge, 

WHAS.  Taking  part  in  the  discussion  will  be  Paul  White,  Director 
of  Special  Events  of  CBS;  Abe  Schechter,  Director  of  Special 
Events  of  NBC;  Van  C.  Newkirk,  in  charge  of  special  events  for 
KHJ-Mutual  on  the  Coast,  and  Herb  Hollister  of  KFBI. 

In  conjunction  with  the  convention  there  will  be  meet¬ 
ings  of  the  independent  and  IRNA  groups  and  FM  broadcasters.  The 
Board  of  Directors  will  hold  its  annual  meeting  on  August  4.  On 
the  same  day,  the  Code  Compliance  Committee  will  be  in  session  to 
receive  recommendations  from  members. 

XXXXXXXX 

-  5  - 


7/9/40 


RADIO  EXPORTS  MAKE  PARTIAL  RECOVERY 


United  States’  exports  of  electrical  equipment  were 
valued  at  $12,089,165  in  May  of  this  year  compared  with  the 
April  trade  of  $11,811,777,  an  increase  of  2.3  percent,  according 
to  the  Electrical  Division,  Department  of  Commerce. 

Shipments  of  radio  receiving  sets,  which  had  decreased 
in  April  to  the  low  level  of  $655,679,  recovered  in  May  to  total 
$779,732.  Loudspeakers  improved  from  $22,988  to  $29,861,  while 
receiving  set  components  showed  little  change  at  $447,573.  All 
other  radio  classifications,  however,  registered  decreases; 
transmitting  sets,  tubes  and  parts  decreased  from  $363,488  to 
$308,775;  other  receiving  set  accessories  from  $60,180  to  $48,958; 
and  radio  receiving  tubes  fell  to  the  lowest  level  of  the  year 
when  sales  totaled  only  $170,080  in  May  as  compared  with  $269,233 
in  April. 


Foreign  sales  of  electrical  equipment  in  May  exceeded 
the  $8,973,606  trade  of  May,  1939,  by  $3,115,559,  or  34.7  percent. 
The  trade  for  the  first  5  months  of  the  current  year  aggregated 
$58,222,623  compared  with  the  corresponding  1939  volume  of 
$43,354,568,  an  increase  of  $14,868,055,  or  34.3  percent. 

No  defined  general  trend  was  noticeable,  trade  fluctua¬ 
tions  being  numerous  in  both  directions  among  the  individual 
commodity  categories.  Outstanding  among  those  which  showed  an 
upward  tendency  were  refrigerators,  radio  receivers,  rubber- 
covered  wire,  several  generator  classes,  and  others. 

xxxxxxxxx 


DEMOCRATIC  CONVENTION  NOT  TO  BE  TELEVISED 


The  Republicans  will  have  had  one  thing  that  the  Demo¬ 
crats  won't  when  they  meet  in  Chicago  next  week,  i.e.,  television. 

The  National  Broadcasting  Company,  which  aroused  con¬ 
siderable  interest,  especially  among  the  women  delegates,  with 
its  television  pick-ups,  has  found  that  transmission  problems 
would  be  too  great  to  repeat  the  performance  at  Chicago. 

The  Democratic  convention  will  be  covered  just  as 
thoroughly  by  radio,  however,  as  all  the  major  networks  are  pre¬ 
paring  to  send  their  crack  announcers  and  commentators  to  Chicago. 

Preliminary  and  unofficial  estimates  of  the  cost  of 
covering  the  G.O.P.  convention  to  NBC,  CBS,  and  Mutual  were 
between  $250,000  and  $275,000,  chiefly  due  to  the  replacement  of 
valuable  commercial  periods.  Variety  estimated  the  television 
experiment  at  $15,000. 

XXXXXXXXX 
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KGKB  REVOCATION  IS  AFFIRMED 


The  Federal  Communications  Commission  last  week  announc¬ 
ed  its  proposed  findings  of  fact  and  conclusions,  proposing  to 
affirm  the* recommendations  of  Commissioner  Payne  to  revoke  the 
license  of  the  East  Texas  Broadcasting  Company  (KGKB),  Tyler, 
Texas,  operating  on  1500  kc. ,  with  250  watts,  unlimited  time. 

Upon  consideration  of  all  the  facts  of  record,  the  Com¬ 
mission  found  that  the  East  Texas  Broadcasting  Company,  licensee 
of  Station  KGKB,  had,  on  some  date  unknown  to  the  Commission  dur¬ 
ing  the  year  1936,  delegated  the  operation  and  management  of  the 
station  to  one  James  G.  Ulmer.  By  virtue  of  such  action  the 
company  voluntarily  transferred  the  rights  theretofore  granted 
to  it  by  terms  of  the  license  issued  by  this  Commission,  without 
its  consent  in  writing  for  such  transfer  or  assignment,  in  viola¬ 
tion  of  the  provisions  of  the  Communications  Act  of  1934,  as 
amended. 


“East  Texas  Broadcasting  Company,  licensee  of  Station 
KGKB  did  therefore,  violate  the  provisions  of  the  license  hereto¬ 
fore  issued  to  it  for  the  operation  of  said  station,  and  the 
revocation  order  entered  in  this  matter  on  February  13,  1940,  is 
affirmed",  the  FCC  stated. 

All  parties  will  have  20  days  within  which  to  file 
exceptions  and  request  oral  argument  on  the  proposed  report  and 
exceptions. 

XXXXXXXXX 


FAIR  TO  HONOR  BROADCASTERS  AUGUST  3 


A  nationwide  tribute  to  the  broadcasting  industry  of 
the  United  States  will  be  presented  under  the  joint  auspices  of 
the  World's  Fair  of  1940  in  New  York  and  the  Golden  Gate  Inter¬ 
national  Exposition  of  San  Francisco  on  Saturday,  August  3, 
according  to  an  announcement  issued  this  week  by  both  Fairs. 

The  date  has  been  set  aside  as  Broadcasters'  Day  at 
the  two  expositions  and  a  simultaneous  celebration  has  been 
planned  as  an  expression  of  public  goodwill  toward  the  radio 
industry.  Especial  emphasis  will  be  placed  on  the  efforts  of 
radio  at  promoting  national  unity  through  the  free  expression  of 
ideas.  The  date  has  been  selected  because  the  annual  convention 
of  the  National  Association  of  Broadcasters  will  open  in  San 
Francisco  on  the  following  day,  August  4. 

The  chief  event  of  the  day  will  be  an  impressive  pro¬ 
gram  in  the  Court  of  Peace  and  Freedom  at  the  New  York  World's 

-  7  - 


7/9/40 


Fair.  As  the  climax  of  the  program  a  plaque  will  be  unveiled. 

A  similar  ceremony  will  take  place  simultaneously  at  the  San 
Francisco  Fair.  The  design  of  the  plaque  is  based  on  a  quota¬ 
tion  from  Walt  Whitman:  "The  liberties  of  the  people  are  safe 
as  long  as  there  are  tongues  to  speak  and  ears  to  hear. " 

Harvey  D.  Gibson,  Chairman  of  the  Board  of  the  New  York 
Fair,  and  Marshall  Dill,  President  of  the  San  Francisco  Exposi¬ 
tion,  in  a  joint  statement  declared: 

"The  World's  Fair  of  1940  in  New  York  and  the  Golden 
Gate  International  Exposition  are  happy  to  join  in  this  proposed 
tribute  to  a  great  and  vital  American  industry,  an  industry  which 
has  become  a  tremendous  force  in  the  development  of  our  national 
aims  and  ideals.  In  these  times  of  stress,  it  is  more  important 
than  ever  that  Freedom  of  Radio  take  its  place  along  with  those 
other  priceless  freedoms  guaranteed  to  us  by  the  Bill  of  Rights. 
We  believe  that  the  two  great  international  expositions  now  being 
held  on  opposite  sides  of  our  American  continent  can  perform  a 
great  service  to  the  nation  by  helping  to  focus  attention  in  this 
way  on  the  American  concept  of  Freedom  of  Radio  taking  its  place 
alongside  Freedom  of  Speech,  Freedom  of  Worship  and  Freedom  of 
the  Press.  " 


The  ceremonies  at  the  two  Fair  grounds  will  provide 
the  nucleus  for  a  one  hour  broadcast  over  all  the  major  networks 
and  independent  stations  of  the  country.  The  coast-to-coast 
hookups  of  the  Columbia  Broadcasting  System,  National  Broadcast¬ 
ing  Company  and  the  Mutual  Broadcasting  System,  totalling  more 
than  four  hundred  stations,  will  carry  the  broadcast  from 
9:00  to  10:00  P.M. ,  EST.  In  addition,  scores  of  non-network 
stations  will  be  linked  to  the  chains  for  the  occasion. 

Details  of  the  broadcast  program  have  not  yet  been  com¬ 
pleted  but  the  general  outline  will  include  expressions  of  opin¬ 
ion  by  various  leaders,  including  Mr.  Gibson  and  Mr.Di3.1,  and 
top-flight  entertainment  by  the  greatest  stars  in  the  entertain¬ 
ment  world  today.  Neville  Miller,  President  of  the  National 
Association  of  Broadcasters,  will  speak  for  the  radio  industry  in 
accepting  the  tribute. 


While  the  main  portion  of  the  broadcast  will  originate 
at  the  New  York  and  San  Francisco  Fairs,  pickups  will  be  made 
from  all  over  the  nation  to  give  a  complete  cross  section  of 
broadcasting  in  America. 


Dr.  John  S.  Young,  Director  of  Radio  and  Television  for 
the  World's  Fair  of  1940  in  New  York,  and  R.  C.  Coleson,  Director 
of  Radio  for  the  Golden  Gate  International  Exposition,  will  be 
masters  of  ceremonies. 


xxxxxxxxx 


-  8  - 


7/9/40 


RADIO  ENGINEERS  SOUGHT  FOR  GOVERNMENT  EMPLOYMENT 


The  United  States  Civil  Service  Commission  has  announced 
examinations  to  fill  engineering  positions  in  the  Government  in 
various  specialized  fields.  Salaries  range  from  $2,600  to  $4,600 
a  year,  less  a  retirement  deduction  of  3-1/2  percent. 

Applications  must  be  filed  with  the  Commission’s  Wash¬ 
ington  office  not  later  than  August  5  if  received  from  States  east 
of  Colorado,  and  not  later  than  August  8,  1940,  if  received  from 
Colorado  and  States  westward. 

Applicants  must  have  had  study  in  an  engineering  course 
in  a  recognized  college,  and  professional  engineering  experience 
in  the  branch  of  engineering  for  which  application  is  made. 
Optional  branches  included  in  the  examination  are:  Electrical, 
heating  and  ventilating,  materials,  mechanical,  mining,  radio, 
structural,  telegraph,  telephone,  and  welding.  Substitution  of 
additional  engineering  experience  may  be  made  for  part  of  the 
required  education;  and  graduate  study  in  engineering  may  be 
accepted  for  part  of  the  experience.  Applicants  will  not  be  given 
a  written  test,  but  will  be  rated  on  their  qualifications  as  shown 
in  their  applications  and  on  corroborative  evidence. 


Full  information  as  to  the  requirements  for  the  examina¬ 
tions,  and  the  appropriate  application  forms,  may  be  obtained 
from  the  Secretary  of  the  Board  of  U.  S.  Civil  Service  Examiners, 
at  any  first  or  second  class  post  office,  or  from  the  U.  S.  Civil 
Service  Commission,  Washington,  D.  C. 


xxxxxxxx 

FCC  JOINS  IN  HUNT  FOR  FALSE  SOS  RADIO  REPORT 


The  source  of  a  false  SOS  reporting  that  the  United 
States  destroyer  Barry  had  been  struck  by  a  German  submarine  was 
sought  by  Government  investigators  this  week. 

Authenticity  of  the  SOS  was  suspected  almost  as  soon  as 
it  was  picked  up  by  Mackay  Radio  because  it  was  sent  on  the  short¬ 
wave  band  of  55  meters  instead  of  the  ’’Barry's"  wavelength  of 
500  meters.  The  false  message,  mentioning  the  "Barry"  by  name  but 
not  signed  with  its  call  letters,  reported: 

"Sinking  slowly,  hit  by  German  submarine;  water  in 
hold;  can  last  three  hours."  It  gave  a  position  400  miles  off  the 
coast  of  Spain. " 

The  Navy  declined  to  disclose  position  of  the  destroyer 
after  establishing  it  was  safe.  It  was  known  to  be  in  Spanish 
waters,  however,  and  there  have  been  reports  that  it  was  at  Bilboa, 
Spain. 

)(  .  The  Federal  Communications  Commission  tackled,  as  an 

exceedingly  difficult  task",  the  job  of  running  down  the  author 
of  the  false  message. 


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Chairman  James  L.  Fly  said  the  Commission  was  making  an 
extensive  investigation  through  its  monitor  stations  in  coopera¬ 
tion  with  the  Navy  and  Mackay  radio,  which  picked  up  the  myster¬ 
ious  message. 

;'lt  is  a  puzzling  case”,  Mr.  Fly  said.  "We  cannot  moni¬ 
tor  every  wave  length  all  the  time.  When  a  message  comes  and 
goes  on  an  unsuspected  wave  length,  there  you  are. " 

XXXXXXXXX 
: : :  TRADE  NOTES  : : : 

WOR  will  be  the  first  station  in  the  country  to  com¬ 
pletely  equip  one  of  its  studios  for  high  fidelity  Frequency 
Modulation  broadcasting  in  accorda.nce  with  the  recent  new  regu¬ 
lation  of  the  FCC  calling  for  high  fidelity  facilities  for  FM 
broadcasts.  The  new  equipment  will  be  put  in  to  use  simultan¬ 
eously  with  the  beginning  of  FM  transmission  from  WOR’s  new  site 
at  444  Madison  Avenue  the  latter  part  of  this  month.  - - 


William  S.  Knudsen,  in  charge  of  correlating  production 
under  the  National  Defense  Program,  announced  yesterday  that 
W.  H.  Harrison,  Vice  President  and  Chief  Engineer  of  the  American 
Telephone  &  Telegraph  Co.  had  been  appointed  Director  of  the 
Construction  Division  of  the  Production  Department  of  the  National 
Defense  Advisory  Commission. 


Gross  billings  for  time  on  the  Columbia  Network  -  prior 
to  deductions  for  agency  commissions  and  time  discounts  to  spon¬ 
sors  -  totaled  $3,144,213  during  June,  1940.  The  June  figure 
brings  the  .six-month  cumulative  total  for  1940  to  $20,457,372^.^ 

June  time  sales  of  the  Mutual  Broadcasting  System  amount¬ 
ed  to  $299,478,  an  increase  of  31.2  percent  over  June  1939  time 
sales  of  $228,186.  Cumulative  time  sales  for  the  first  six  months 
of  1940  amounted  to  $2,031,323,  an  increase  of  25.1  percent  over 
the  similar  1939  period  when  time  sales  amounted  to  $1,624,235^. 

Gross  client  expenditures  on  NBC  networks  increased 
7.7 /  in  June  over  the  corresponding  month  in  1939,  and  rose  8.7/ 
during  the  first  six  months  of  1940  over  the  same  period  last 
year.  Total  billings  last  month  were  $3,642,100  compared  with 
$3,382,404  in  June  1939.  For  the  first  six  months  of  1940  bill¬ 
ings  totalled  $24,559,876  as  against  $22,598,937  for  the  same 
period  in  1939. 

Gross  expenditures  on  the  NBC  Red  Network  in  June  were 
$2,919,405  compared  with  $2,759,917  for  June  1939,  an  increase  of 
5.8/0.  Gross  expenditures  on  the  NBC  Blue  Network  totalled 
$722,695  as  against  $622,487  in  1939,  an  increase  of  16.1/. 

Cumulative  billings  for  the  first  six  months  for  the 
Red  Network  were  $19,326,846  compared  with  $18,149,437  for  the 
same  period  last  year,  an  increase  of  6.5/.  Blue  Network  bill¬ 
ings  totalled  $5,233,030  as  against  $4,449,500  for  the  first  six 
months  of  1939,  an  increase  of  17.6/. 

XXXXXXXXX 
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7/9/40 


I.  T.  &  T.  INCOME  SHOWS  SPURT  FOR  QUARTER 


The  International  Telephone  &  Telegraph  Corporation 
last  week  reported  net  income  of  $406,580  for  the  quarter  ended 
March  31,  after  taxes,  depreciation,  subsidiary  dividends,  in¬ 
terest  and  other  deductions,  but  excluding  reports  from  all 
European,  Mexican  and  cable  and  radiotelegraph  subsidiaries. 

In  the  same  quarter  of  1939  net  income  on  a  similar 
basis  was  $261,367. 

The  report  included  a  cash  dividend  of  $600,000  receiv¬ 
ed  during  last  March  from  International  Standard  Electric  Corpora¬ 
tion  but  it  was  stated  it  was  not  expected  further  dividends 
would  be  received  from  that  source. 

"With  respect  to  the  properties  of  International  Stand¬ 
ard  Electric  Corporation  and  its  subsidiaries,  the  corporation's 
latest  advices  indicate  that  the  factories  of  the  subsidiaries  in 
the  occupied  areas  of  Denmark,  Norway,  Belgium  and  Holland  have  not 
been  damaged  and  are  operating,  but  on  a  reduced  scale",  said 
Sosthenes  Behn,  President.  He  added  the  French  factories  also 
were  reported  undamaged  but  that  some  machinery  was  transferred 
before  evacuation  of  Parin  upon  instructions  of  the  French  govern¬ 
ment. 

The  report  said  preliminary  information  was  that  Russian- 
occupied  Rumanian  territory  contained  about  10  percent  of  the 
plant  of  the  Rumanian  telephone  operating  subsidiary,  and  that 
revenues  from  Transatlantic  Cable  Operation  had  been  reduced 
seriously  by  the  cables  ceasing  to  function  after  German  occupa¬ 
tion  of  Holland,  Belgium  and  France. 

For  the  March,  1940,  quarter  the  parent  company,  only, 
reported  net  loss  of  $530,971,  after  taxes  and  other  reductions, 
against  loss  of  $306,928  in  the  same  period  of  1939. 

XXXXXXXXXX 

NEWS  MAY  BE  BANNED  IN  CANADA 

Because  of  the  alleged  distribution  by  private  broad¬ 
casting  companies  of  war  news  in  an  unnecessarily  alarming  form, 
the  Canadian  Broadcasting  Corporation  is  likely  to  be  given  a 
monopoly  of  news  broadcasting  in  Canada,  according  to  a  Montreal 
correspondent  of  Editor  &  Publisher. 

Sponsored  news  broadcasts  will  soon  be  a  thing  of  the 
past,  Hon.  C.  D.  Howe,  Minister  of  Transport,  informed  the 
Canadian  House  of  Commons  June  28,  in  reply  to  a  question  from 
R.  B.  Hanson,  Conservative  leader.  He  promised  that  Parliament 
would  be  told  first,  "if  I  am  not  scolded  by  New  York  news  ser¬ 
vices  ,  about  the  new  plan  which  would  be  evolved  after  investi¬ 
gation  of  the  situation  by  Walter  S.  Thompson,  Director  of 
Public  Relations  of  the  Canadian  National  Railways,  whose  appoint¬ 
ment  to  do  that  work  Mr.  Howe  announced. 


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The  plan  which  is  reported  to  be  under  consideration 
would  involve  a  pooling  of  the  news  gathered  by  the  various  news 
services  including  the  Canadian  Press,  the  British  United  Press 
and  Transradio  Press.  This  news  would  be  collected  and  edited 
by  CBC  and  then  transmitted  over  its  facilities.  While  the 
Canadian  Press  has  been  furnishing  its  news  to  CBS  without  charge 
it  is  possible  that  the  other  agencies  might  be  given  some  com¬ 
pensation. 

XXXXXXXX 


PHILCO  STOCK  OFFERED  PUBLIC  THIS  WEEK 


Plans  are  proceeding  for  public  offering  this  week  of 
325,000  shares  of  common  stock  of  the  Philco  Corporation,  accord¬ 
ing  to  the  New  York  Times*  business  page.  Smith,  Barney  &  Co. 
will  manage  the  offering.  With  them  will  be  an  underwriting  group 
of  thirty  or  more  investment  firms.  The  original  registration 
statement  was  filed  with  the  Securities  and  Exchange  Commission 
on  May  23,  but  public  offering  has  been  delayed  pending  a  return 
of  more  normal  conditions  and  the  offering  is  expected  to  signal¬ 
ize  the  resumption  of  distribution  of  new  issues  of  the  equity 
type. 


By  announcing  its  intention  to  finance  publicly,  the 
company,  formed  in  1892,  broke  a  tradition  because  its  shares 
never  before  have  been  available  to  the  public.  On  April  26 
stockholders  of  the  corporation  amended  the  articles  of  incor¬ 
poration  and  provided  for  reclassification  of  the  existing  common 
stock.  Each  share  of  previously  outstanding  common  was  exchanged 
for  thirty- three  and  a  third  shares  of  new  common  stock.  When 
effect  was  given  to  this  exchange,  Philco  had  outstanding  1,221,100 
common  shares,  in  addition  to  28,385  shares  of  $100  par  value  $5 
preference  stock.  It  has  no  funded  debt. 

It  is  planned  to  offer  150,000  shares  of  the  new  common 
stock  for  the  account  of  Philco  Corporation  and  175,000  shares 
for  the  account  of  certain  stockholders  who  agreed  to  dispose  of 
a  part  of  their  holdings  for  public  subscription.  All  of  the 
150,000  shares  to  be  sold  for  the  account  of  the  company  are  held 
in  its  treasury.  The  difference  between  the  net  proceeds  to  be 
received  by  the  company  and  the  $3-par  value  a  share  will  be 
added  to  the  company's  capital  surplus,  and  the  entire  net  pro¬ 
ceeds,  together  with  such  additional  funds  from  the  company's  funds 
as  required,  will  be  used  to  redeem  the  outstanding  $5  preference 
stock. 


XXXXXXXX 


12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  JULY  12,  1940 


"Errors"  In  Monopoly  Report  To  Be  Cited . 2 

New  FCC  Rules  Aimed  At  "Fifth  Columnists" . 4 

War  Closes  France  Market  For  Imported  Radios . 5 

U.  3.  Broadcasts  Popular  In  Latin  America . 6 


FCC  Makes  Decision  In  Heitmeyer  And  Frontier  Cases 


Newspapers  Again  Advised  To  Seek  FM  Licenses 

Broadcasters  Seek  Wage-Hour  Modification . 8 

Extensive  Nazi  Radio  Net  Seen  By  Pick-Ups . 9 

Coastal  Harbor  Radiotelephone  Frequencies  Changed . 10 

Philco  Shares  Quickly  Bought  By  Public . . . 11 


<1  -3 


"ERRORS”  IN  MONOPOLY  REPORT  TO  BE  CITED 


The  networks  and  other  interested  parties  will  be  given 
an  opportunity  to  cite  specific  errors  in  facts  and  conclusions  in 
briefs  filed  with  the  Federal  Communications  Commission,  it  was 
disclosed  this  week  at  the  third  hearing  by  the  Senate  Interstate 
Commerce  Committee  on  the  renomination  of  Commissioner  Thad  H. 
Brown. 


John  J.  Burns,  special  counsel  for  the  Columbia  Broad¬ 
casting  System,  made  the  disclosure  in  the  presence  of  Chairman 
James  L.  Fly  of  the  FCC  after  the  monopoly  report  had  been  riddled 
by  Ralph  Colin,  general  counsel  of  the  CBS. 

Previously  Mr.  Burns  charged  that  the  report  "contains 
errors  of  fact  and  unwarranted  inferences”,  and  Mr.  Colin  pointed 
out  in  detail  numerous  misstatements  with  regard  to  the  CBS  deal 
with  Paramount,  the  motion  picture  company. 

The  disclosure  brought  a  reproof  to  the  FCC  from  Chairman 
Wheeler,  of  the  Interstate  Commerce  Committee,  who  said: 

"Everyone  of  these  governmental  commissions  ought  to  be 
extremely  careful  not  to  make  misstatements  of  fact  regarding 
any  company.  Such  action  brings  the  commission  into  disrespect. ” 

Earlier  Chairman  Wheeler  and  other  members  of  the  Senate 
Committee  rebuked  Mr.  Colin  for  his  sharp  language  in  criticizing 
Senator  Tobey  (R),  of  New  Hampshire,  for  his  attack  on  CBS  and 
William  S.  Paley,  its  President,  during  the  previous  Brown  hearing. 

Senator  Wheeler  called  Mr.  Colin's  statement,  in  which 
on  June  21  in  a  statement  to  the  press  he  charged  Senator  Tobey 
with  making  false  statements  and  deliberately  attempting  to  injure 
CBS  and  Mr.  Paley,  "entirely  unjustified”  even  if  the  information 
on  which  Senator  Tobey' s  remarks  were  based  was  incorrect. 

Senator  Tobey  and  other  members  of  the  Committee  had 
criticized  the  network  and  its  officers  on  the  basis  of  charges 
made  in  the  FCC  monopoly  report,  prepared  by  a  Committee  headed  by 
Commissioner  Brown. 

Senator  Reed  (R),  of  Kansas,  joined  Senator  Wheeler  in 
the  condemnation  and  suggested  that  Mr.  Colin  "correct"  his  state¬ 
ment  in  your  own  interest”.  He  labelled  the  attack  on  Senator 
Tobey  as  "outrageous”. 

Mr.  Colin  persistently  refused  to  withdraw  the  statement 
or  make  an  apology,  but  at  the  conclusion  of  the  hearing  he  said 

-  2  - 


7/12/40 


that  if  he  had  known  all  the  circumstances  at  the  time  and  had  not 
been  trying  to  ’’beat  a  deadline”  he  "might  have  thought  differ¬ 
ently.  ” 

”1  withdraw  any  charge  of  malice  against  Senator  Tobey”, 

he  said. 


Senate  action  on  Commissioner  Brown's  renomination  was 
delayed  until  after  the  Congressional  recess  for  the  Democratic 
convention  as  Senator  Tobey  said  he  still  had  more  questions  to 
ask  the  nominee. 

While  Commissioner  Brown  did  not  take  the  stand,  he  was 
asked  several  times  for  an  explanation  of  statements  appearing  in 
the  monopoly  report. 

After  the  Commissioner  had  turned  each  time  to  his  aides 
who  prepared  the  report  for  advice  before  answering,  Senator  Tobey 
observed  that  Mr.  Brown  appeared  "ignorant "  of  what  is  contained 
in  the  report. 

At  one  stage  of  the  proceedings  Senator  Neely  (D),  of 
West  Virginia,  complained  that  the  inquiry  seemed  to  be  "going 
far  afield"  of  the  matter  before  the  Committee,  and  Senator  Wheeler 
observed  that  it  should  be  confined  more  to  the  "question  of  the 
general  fitness  of  the  nominee  for  office". 

Meanwhile,  the  FCC  is  operating  as  a  six-man  agency  and 
there  is  some  question  as  to  whether  Commissioner  Brown,  when  and 
if  confirmed,  will  be  able  to  collect  back  salary  to  July  1,  when 
his  new  appointment  was  intended  to  begin.  FCC  officials  said  he 
would  draw  back  salary,  while  others  suggested  that  the  Comptroller 
General  will  have  to  pass  upon  the  question. 

The  CBS-Paramount  deal,  which  was  the  basis  of  the  Tobey 
criticism,  was  explained  at  length  by  Mr.  Colin,  who  pointed  out 
in  detail  wherein  the  FCC  monopoly  report  was  wrong  in  reporting 
fact  and  in  its  conclusions  and  implications. 

Afterward  Chairman  Wheeler  commented  that  he  saw  nothing 
irregular  in  the  transaction  in  which  Mr.  Paley  is  reputed  to 
have  made  $1,000,000. 

Mr.  Colin  explained  that  CBS  had  doubled  its  shares  of 
stock  in  1929  and  sold  them  to  Paramount  in  exchange  for  58,823 
shares  of  the  movie  company’s  stock.  Paramount  agreed  to  buy  back 
its  own  stock  at  the  end  of  two  years  at  $85  a  share  providing  CBS 
earned  $1,000,000  a  year  or  more  in  the  interim. 

As  the  stock  market  crash  occurred  before  the  expiration 
of  the  two-year  period,  Paramount,  when  confronted  with  the  demand 
decided  to  sell  its  CBS  holdings  to  raise  the  necessary  cash.  CBS, 
thereupon  bought  14,156  of  the  63,250  shares  held  by  Paramount  out 
of  its  surplus,  and  15  CBS  stockholders  bought  the  remainder. 

-  3  - 


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The  profit  came  to  Mr.  Paley  and  other  stockholders 
through  the  subsequent  sale  of  this  CBS  stock  to  investment  bank¬ 
ers  at  $82.21  a  share,  which  was  the  value  fixed  by  Paramount, 
although  the  book  value  was  far  less. 


Mr.  Colin  insisted  that  minority  stockholders,  as  well 
as  the  majority,  profited  by  the  transaction. 


X  X  X  X  X  X 


NEW  FCC  RULES  AIMED  AT  " 


X  X 

fifth  columnists” 


New  rules  obviously  designed  to  prevent  "Fifth  Column" 
activities  in  the  radio  communications  field  were  adopted  this  week 
by  the  Federal  Communications  Commission.  They  prohibit,  among 
other  things,  damage  to  apparatus,  false  signals,  and  malicious 
interferences  by  either  amateur  or  commercial  radio  operators. 

The  new  rules  governing  commercial  radio  operators  are: 

Sec.  13.64  Obedience  to  lawful  orders.  All  licensed  radio 
operators  shall  obey  and  carry  out  the  lawful  orders  of  the  master 
or  person  lawfully  in  charge  of  the  ship  or  aircraft  on  which  they 
are  employed. 

Sec.  13.65  Damage  to  apparatus.  No  licensed  radio  operator 
shall  willfully  damage,  or  cause  or  permit  to  be  damaged,  any  radio 
apparatus  or  installation  in  any  licensed  radio  station. 

Sec.  13.66  Unnecessary,  unidentified,  or  superfluous  communi¬ 
cations.  No  licensed  radio  operator  shall  transmit  unnecessary, 
unidentified,  or  superfluous  radio  communications  or  signals. 

Sec.  13.67.  Obscenity,  indecency,  profanity.  No  licensed 
radio  operator  or  other  person  shall  transmit  communications  con¬ 
taining  obscene,  indecent,  or  profane  words,  language,  or  meaning. 

Sec.  13.68.  False  signals.  No  licensed  radio  operator  shall 
transmit  false  or  deceptive  signals  or  communications  by  radio,  or 
any  call  letter  or  signal  which  has  not  been  assigned  by  proper 
authority  to  the  radio  station  he  is  operating. 

Sec.  13.69.  Interference .  No  licensed  radio  operator  shall 
willfully  or  maliciously  interfere  with  or  cause  interference  to 
any  radio  communication  or  signal. 

Sec.  13.70.  Fraudulent  licenses.  No  licensed  radio  operator 
or  other  person  shall  obtain  or  attempt  to  obtain,  or  assist 
another  to  obtain  or  attempt  to  obtain,  an  operator’s  license  by 
fraudulent  means. 


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The  new  rules  governing  amateur  radio  stations  and 
operators  are: 

Sec.  12.156  Obscenity,  indecency,  profanity.  No  licensed 
radio  operator  or  other  person  shall  transmit  communications  con¬ 
taining  obscene,  indecent,  or  profane  words,  language,  or  meaning. 

Sec.  12.157  Fhlse  signals.  No  licensed  radio  operator 
shall  transmit  false  or  deceptive  signals  or  communications  by 
radio,  or  any  call  letter  or  signal  which  has  not  been  assigned  by 
proper  authority  to  the  radio  station  he  is  operating. 

Sec.  12.158  Unidentified  communications.  No  licensed  radio 
operator  shall  transmit  unidentified  radio  communications  or  sig¬ 
nals. 


Sec.  12.159  Interference.  No  licensed  radio  operator  shall 
willfully  or  maliciously  interfere  with  or  cause  interference  to 
any  radio  communication  or  signal. 

Sec.  12.160  Damage  to  apparatus.  No  licensed  radio  operator 
shall  willfully  damage,  or  cause  or  permit  to  be  damaged,  any 
radio  apparatus  or  installation  in  any  licensed  radio  station. 

Sec.  12.161  Fraudulent  licenses.  No  licensed  radio  operator 
or  other  person  shall  obtain  or  attempt  to  obtain,  or  assist  another 
to  obtain  or  attempt  to  obtain,  an  operator  license  by  fraudulent 
means. 

xxxxxxxxxx 


WAR  CLOSES  FRANCE  MARKET  FOR  IMPORTED  RADIOS 


Even  before  its  capitulation  to  Germany,  France  was 
practically  closed  as  a  market  for  imported  radio  sets  and  parts 
from  the  United  States,  the  U.  S.  Commerce  Department  disclosed 
this  week. 


Releasing  a  report  which  was  completed  before  the 
French  invasion,  the  Commerce  Department  quoted  the  American 
Consul  in  Paris  thus: 

HThe  war  has  practically  closed  the  market  in  France 
for  imported  radio  sets  and  parts.  The  domestic  industry,  built 
up  under  the  protection  of  restrictive  quotas  for  several  years, 
is  able  to  satisfy  all  ordinary  demands.  War-time  restriction 
of  imports,  permitted  only  under  special  license  and  subject  to 
the  grant  of  foreign  exchange  permits,  is  being  administered  so 
as  to  admit  only  such  products  from  abroad  as  are  not  obtainable 
in  France  and  are  essential  to  the  national  war-time  economy. n 


XXXXXXXXX 

-  5  - 


7/12/40 


U.  S.  BROADCASTS  POPULAR  IN  LATIN  AMERICA 


Increasing  popularity  in  Latin  America  of  radio  programs 
originating  in  the  United  States  is  indicated  in  consular  reports 
reaching  the  Department  of  Commerce  from  the  Latin  American 
countries,  according  to  John  H.  Payne,  Chief  of  the  Electrical 
Division. 


While  it  is  frequently  reported  that  reception  in  cer¬ 
tain  of  the  countries  is  not  good,  due  to  adverse  atmospheric 
conditions  or  technical  limitations,  the  excellent  quality  of  the 
programs  is  commented  upon  in  most  of  the  communications. 

Mr.  Payne  said  that  transmission  of  radio  programs  to 
Latin  America  is  considered  of  mutual  benefit,  since  it  makes 
available  in  that  region  many  of  the  high  quality  programs  heard 
in  the  United  States  and  at  the  same  time  is  a  medium  through 
which  the  Latin  American  public  is  informed  of  our  customs, 
culture  and  endeavors. 


News  reports  emanating  from  American  short-wave  broad¬ 
casting  stations  have  probably  acted  as  the  greatest  single  factor 
in  enhancing  the  popularity  of  American  broadcasts  among  Latin 
American  listeners.  Mr.  Payne  believes,  too,  that  emphasis  on 
entertainment  value  which  characterizes  American  broadcasts  also 
contributes  greatly  to  their  popularity. 

Publication  in  newspapers  and  other  periodicals  in  Latin 
America  of  schedules  of  short-wave  radio  programs  originating  in 
the  United  States  and  beamed  directly  on  Latin  America  is  being 
effected  by  the  Department  of  Commerce  in  close  cooperation  with 
the  Department  of  State,  the  Radio  Manufacturers’  Association  and 
the  radio  broadcasting  industry.  Mr.  Payne  indicated  that  a 
greater  volume  of  short-wave  programs  is  put  on  the  air  by  American 
broadcasters  than  in  any  foreign  country. 

Weekly  schedules  of  forthcoming  radio  programs,  espec¬ 
ially  prepared  or  selected  on  the  basis  of  known  preferences  of 
radio  listeners  in  Latin  America  and  frequently  presented  in  the 
languages  most  widely  understood  in  that  area,  are  distributed 
in  Latin  American  countries  through  the  Foreign  Offices  of  the 
United  States  G-overnment. 


At  the  present  time,  seven  companies  operating  eleven 
short-wave  radio  stations  located  in  New  York,  N.Y. ,  Schenectady, 
N.Y.  ,  Boston,  Mass.,  Philadelphia,  Pa..,  Pittsburgh,  Pa.,  Cincinnati, 
Ohio,  and  San  Francisco,  Calif. ,  are  transmitting  these  programs 
daily  to  Latin  America. 


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FCC  MAKES  DECISION  IN  HEITMEYER  AND  FRONTIER  CASES 


The  Federal  Communications  Commission  this  week  announced 
decisions  with  respect  to  docket  cases  involving  construction  of 
new  radio  broadcast  stations  at  Cheyenne,  Wyo. 

It  denied  a  motion  of  Paul  R.  Heitmeyer  to  grant  without 
further  hearing  his  application  for  a  construction  permit  but  com¬ 
plied  with  his  alternative  request  that  his  application  be  dis¬ 
missed.  At  the  same  time,  the  Commission  granted  the  petition  of 
the  Frontier  Broadcasting  Company  to  reconsider  Commission  action 
in  remanding  its  application  for  hearing  and  granted  the  same  with¬ 
out  further  hearing. 

In  doing  so  it  authorized  the  Frontier  Company  to  oper¬ 
ate  on  1420  kilocycles,  with  power  of  100  watts  night,  250  watts 
until  local  sunset,  unlimited  time  of  operation,  subject  to  condi¬ 
tion  that  permittee  file  within  a  period  of  two  months  an  appli¬ 
cation  for  modification  of  construction  permit  specifying  the 
exact  transmitter  location  and  antenna  system  proposed  to  be 
installed. 


NEWSPAPERS  AGAIN  ADVISED  TO  SEEK  FM  LICENSES 


Editor  &  Publisher,  organ  of  the  newspaper  publishers, 
last  week  again  advised  newspapers  to  seek  frequency  modulation 
licenses  so  that  the  broadcasting  of  news  '’will  not  fall  into 
incompetent  hands".  In  an  editorial  it  said: 

"Several  comments  on  the  editorial  which  appeared  here 
last  week  informed  us  that  the  Federal  Communications  Commission 
is  now  receiving  applications  for  commercial  operation  of  frequency 
modulation  radio  stations.  Several  stations,  including  some  news¬ 
papers,  are  already  working  on  an  experimental  basis,  and  commer¬ 
cial  operation  will  be  permitted  on  and  after  Jan.  1,  1941,  to  all 
licensed  by  the  FCC.  Forms  for  application  were  released  by  the 
Commission  July  1.  It  is  stated  that  the  applications  will 
receive  immediate  action. 

"We  mentioned  that  commercial  broadcasting  by  FM  may 
be  approved  as  of  Jan.  1,  1941.  That  approval  has  already  been 
given,  but  applicants  should  not  take  it  as  a  guarantee  of  com¬ 
mercial  support.  Our  own  view  is  that  FM  will  take  months,  if 
not  years,  of  nursing  before  the  amount  of  income  available  to  it 
will  suffice  to  support  the  number  of  potential  stations.  Only  a 
few  thousand  receivers  equipped  to  take  FIJI  signals  are  now  in  the 
hands  of  the  public,  and,  until  that  condition  is  changed,  the 
field  for  commercial  broadcasts  is  limited. 


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7/12/40 


"Nevertheless,  we  repeat  our  advice  that  newspapers 
generally  should  seek  FM  licenses.  The  cost  of  supporting  an  FM 
station  during  experimental  commercial  stages  can  well  be  regarded 
as  insurance  against  formidable  local  competition,  and  insurance  to 
the  public  also  that  the  function  of  furnishing  news  by  radio  will 
not  fall  into  incompetent  hands. " 


No  new  FM  applications  have  been  received  by  the  FCC  to 
date.  A  Commission  spokesman  suggested  that  the  forms  were  so 
complicated  that  applicants  need  a  little  time  to  understand  them. 


XXXXXXXXXX 


BROADCASTERS  SEEK  WAGE-HOUR  MODIFICATION 


Broadcasters  will  seek  a  redefinition  of  the  term 
"executive"  in  the  wage  and  hour  regulations  at  a  hearing  before 
the  Wage  and  Hour  Division  of  the  Labor  Department  July  25  in 
Washington. 

Many  stations,  particularly  smaller  ones,  have  found  it 
difficult  to  comply  with  the  definition  of  executive,  as  interpre¬ 
ted  by  the  Wage  a.nd  Hour  Division.  The  regulations  prescribe  that 
bona  fide  executives,  professional  workers,  outside  salesmen,  and 
others  in  similar  classifications,  shall  be  exempt  from  overtime 
provisions  of  the  Act.  In  its  interpretations  of  October,  1938, 
the  Division  held  that  executives  must  be  paid  $30  per  week  and 
direct  work  of  others  as  the  head  of  a  department,  have  the  power 
to  hire  and  fire,  or  make  recommendations  on  retention  or  release 
of  personnel. 

The  interpretation  further  specified  that  executives 
"shall  do  no  substantial  amount  of  work  of  the  same  character  as 
that  performed  by  non-exempt  employees. "  It  is  this  provision 
that  has  worked  undue  hardship  on  stations,  since  chief  announcers, 
chief  engineers,  and  program  department  heads  in  many  cases  per¬ 
form  operating  functions  along  with  members  of  their  staffs. 

Joseph  L.  Miller,  NAB  Labor  Relations  Director,  has  fil¬ 
ed  an  appearance  for  the  July  25  hearing  before  Harold  Stein, 
Assistant  Director  of  the  hearings  branch  of  the  Division. 


xxxxxxxxx 

So  that  radio  listeners  may  make  their  own  transcribed 
versions  of  notable  radio  programs,  General  Electric’s  Radio 
Department  has  announced  a  new  home  recording  record  player.  The 
new  unit  has  facilities  not  only  for  making  transcriptions  or 
original  recordings  on  blank  disks,  but  for  playing  records  of  any 
type  in  conjunction  with  a  modern  radio,  thus  combining  the  func¬ 
tions  of  record  player  and  recorder. 

XXXXXXXXX 
-  8  - 


7/12/40 


EXTENSIVE  NAZI  RADIO  NET  SEEN  BY  PICK-UPS 


C-ermany,  which  has  utilized  radio  with  considerable 
success  in  the  present  war,  may  now  be  linking  radio  stations  in 
countries  it  has  conquered  into  an  extensive  network.  Evidence 
that  such  a  thing  is  being  done  comes  from  American  short-wave 
listening  posts,  which  have  heard  announcements  recently  that  ten 
or  more  stations  are  linked  to  handle  the  same  program. 

Among  the  powerful  short-wave  stations  no  longer  heard 
independently  in  this  country  are  those  of  Eindhoven  and  Paris. 
Prague  disappeared  some  time  ago.  Berlin  and  Rome  continue  to 
come  in  with  regularly  scheduled  programs. 

Generally,  only  three  or  four  of  the  stations  are  picked 
up  in  this  country,  the  New  York  Times  notes,  since  they  operate 
on  short  waves.  The  others  are  standard  broadcast  waves  that  do 
not  span  the  Atlantic.  Prague  was  the  first  to  be  added  to  the 
Nazi  chain,  and  the  stations  of  Poland  were  next.  Since  then 
Oslo,  Copenhagen,  Brussels,  Amsterdam  and  Paris  have  been  annexed. 
According  to  operators  in  New  York,  constantly  listening  in  on 
Europe,  the  Naxis  dominate  the  air. 

This  week  five  short-wave  stations  were  heard  -  Berlin, 
Paris,  Amsterdam,  Rome  and  Belgrade  -  handling  the  same  program, 
apparently  originating  at  the  Rome  end  of  the  Axis,  the  Times 
reported.  The  announcer  was  Italian.  American  listeners  were 
puzzled  at  Belgrade  being  in  the  hook-up. 

"It’s  all  very  confusing”,  explained  an  operator  at  one 
of  the  receiving  outposts  on  Long  Island.  "We  can’t  make  out  what 
goes  on  over  there.  We  aren't  linguists,  so  can  only  report  that 
the  broadcasts  appear  as  news,  probably  propaganda,  martial  airs 
and  waltzes.  We  even  hear  Berling  through  Rome. " 

Press  Wireless,  Inc.  later  tuned  in  a  station,  apparently 
rebroadcasting  a  German  program,  which  identified  itself  in  English 
as  JZK,  Japan. 

The  station,  heard  on  15,160  kilocycles,  was  said  to 
have  broadcast  the  program  simultaneously  with  the  German- control led 
Paris  Mondial  transmitter.  Programs  originating  in  Germany  al¬ 
ready  have  been  picked  up  from  a  hook-up  taking  in  France,  Italy, 
the  Netherlands,  Belgium  and  Norway. 

XXXXXXXXX 

Increasing  its  daily  schedule  to  include  a  special 
three-hour  program  of  full-fidelity  recordings,  Major  Edwin  H. 
Armstrong's  high-powered  FM  station,  W2XMN,  at  Alnine,  N.J. ,  is 
now  being  heard  Mondays  through  Saturdays  from  10"  a. in.  to  1  p.m.  , 

EST.  In  addition,  W2XMN  continues  its  regular  transmission  of 
Columbia  Broadcasting  System  programs  from  4  to  11  p.m.  each  week¬ 
day,  Mondays  through  Fridays,  and  from  3  to  6  o.m.  on  Sundays. 

XXXXXXXXXX 
-  9  - 


7/12/40 


COASTAL  HARBOR  RADIOTELEPHONE  FREQUENCIES  CHANGED 


Ship  radiotelephone  stations  which  now  communicate  or 
intend  to  communicate  with  the  pub 3. ic  coastal  harbor  radio  sta¬ 
tions  at  Ocean  Gate,  N.J. ;  Delaware  City,  Del.;  Tampa,  Fla.,  and 
New  Orleans,  La.,  were  reminded  this  week  of  changes  in  the  exist¬ 
ing  frequencies  of  these  four  stations,  effective  August  1. 

Ocean  Gate  will  use  2558  kilocycles  in  place  of  the 
2522  kilocycles  now  employed,  and  ships  transmitting  to  Ocean  Gate 
will  change  over  from  2126  to  2166  kilocycles,  the  FCC  stated. 

Delaware  City  will  employ  2558  instead  of  2522  kilo¬ 
cycles,  and  ships  transmitting  to  Delaware  City  will  use  2166 
instead  of  2126  kilocycles. 

Tempa  will  supplant  2598  with  2550  kilocycles,  and  com¬ 
municating  ships  will  change  from  2206  to  2158  kilocycles. 

New  Orleans  will  move  from  2558  to  2598  kilocycles, 
and  ships  transmitting  there  will  substitute  2206  for  2166  kilo¬ 
cycles. 


Ships  in  contact  with  these  points  must  adjust  their 
equipment  accordingly. 

The  changed  frequencies  are  necessitated  by  the  modi¬ 
fied  regional  working  arrangement  to  improve  short-distance  mari¬ 
time  radiotelephone  service  of  Canada  and  the  United  States,  which 
went  into  effect  May  1  last.  Other  stations  will  reta.in  their 
present  frequencies. 


XXXXXXXXXXX 

Mrs.  Franklin  D.  Roosevelt,  who  has  been  broadcasting  on 
current  topics  Tuesday  and  Thursday  a.fternoons  over  forty-three 
outlets  of  the  National  Broadcasting  Company’s  Blue  Network,  will 
not  be  signed  for  a  new  series  when  her  contract  expires  July  25, 
according  to  the  Franklin  Bruck  Agency,  which  handles  the  account 
for  her  sponsors,  the  Manhattan  Soap  Company. 


The  University  of  Berlin  recently  established  a  chair 
for  the  study  and  teaching  of  the  scientific,  technical  and 
educational  aspects  of  radio  as  one  of  its  many  new  departments. 

The  department  is  under  the  direction  of  Prof.  Dr.  Kurt  Wagenfuehr, 
who  is  proceeding  with  his  work  in  collaboration  with  many  not¬ 
able  experts  in  the  field  of  radio  broadcasting  and  research. 

XXXXXXXXXX 


10 


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PHILCO  SHARES  QUICKLY  BOUGHT  BY  PUBLIC 


Initial  public  financing  on  behalf  of  Philco  Corporation, 
the  largest  radio  receiver  manufacturer  in  the  United  States,  was 
carried  out  successfully  Thursday  through  the  offering  of  325,000 
shares  of  common  stock  by  an  underwriting  syndicate  headed  by  Smith, 
Barney  &  Co. ,  according  to  the  business  page  of  the  New  York  Times. 
The  stock  was  priced  at  $15  a  share.  Of  the  total  shares  offered, 
150,000  shares  were  for  the  account  of  the  company  and  175,000 
shares  for  the  account  of  certain  stockholders. 

Formal  offering  of  the  stock  was  made  before  the  opening 
of  normal  trading  activities  Thursday  morning.  The  issue  was  over¬ 
subscribed  by  1  P.M. ,  and  the  syndicate  managers  formally  announced 
at  3:20  P.M.  that  the  books  had  been  closed. 

The  net  proceeds  to  be  received  by  the  company  from  the 
sale  of  150,000  shares  of  common  stock,  estimated  to  be  $1,908,829 
after  deducting  estimated  expenses,  will  be  used,  with  such  addi¬ 
tional  funds  from  the  general  funds  of  the  company  as  may  be 
required,  to  retire  and  cancel  all  the  outstanding  $5  preference 
stock. 

Net  proceeds  from  the  sale  of  the  remaining  175,000 
common  shares  will  not  be  received  by  the  company  inasmuch  as  these 
shares  are  being  sold  by  certain  stockholders.  Since  the  com¬ 
pany’s  common  stock  has  heretofore  been  held  by  a  relatively  small 
number  of  stockholders,  principally  officers  and  employees,  certain 
stockholders  agreed  to  sell  simultaneously  as  much  of  their  stock 
as  they  were  advised  by  the  bankers  as  desirable  for  the  purpose 
of  creating  a  satisfactory  public  market.  After  the  sale  of  the 
shares,  the  company’s  officers,  directors  and  employees  will  still 
own,  of  record  or  beneficially,  approximately  68  percent  of  the 
company’s  total  common  stock. 

Underwriting  discounts  or  commissions  on  the  whole  offer¬ 
ing  amounts  to  $568,750,  or  $1.75  a  share,  leaving  gross  proceeds 
to  both  the  company  and  the  stockholders  who  sold  part  of  their 
holdings  of  $4,306,250.  Upon  completion  of  this  financing,  the 
capitalization  of  Philco  Corporation  will  consist  solely  of  an 
authorized  issue  of  2,000,000  shares  of  $3  par  value  common  stock, 
of  which  1,371,000  shares  will  be  outstanding.  The  company  has 
no  funded  debt  of  any  kind. 

xxxxxxxxxx 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET 


INDEX  TO  ISSUE  OF  JULY  16,  1940 


FTC  Amplifies  Report  On  Radio  Ads  Examined  In  1939 . 2 

NAB  Seeks  "Free  Radio"  In  Democratic  Platform . 4 

(-  Zenith  Welcomes  Test  Case  With  Trade  Commission . 5 

Naming  of  Communications  Defense  Board  Awaited . 7 

FCC  Working  On  Treaty  Reallocations,  Says  Fly . 8 

Commission  Must  Act  On  Requests  For  Monopoly  Protest . 8 

Stations  Don't  Have  To  Quote  Rates,  Says  FCC . 9 

Party  Conventions  Prove  Expensive  To  Networks . 10 

Radio  Men  Invited  To  Join  R.  A.  F.  By  British . . . 10 

Niles  Trammell  Named  President  of  NBC . 11 

E.  &  P.  Sees  Advantage  For  Newspaper  Advertisers . 12 

Story  Of  Television  Told  By  11  Experts . 12 


WASHINGTON,  D.  C. 


’ 


legal  department 

In)  j 


No.  1250 


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July  16,  1940 


FTC  AMPLIFIES  REPORT  ON  RADIO  ADS  EXAMINED  IN  1939 


Additional  data  on  the  analyses  of  radio  and  periodical 
advertising  made  by  the  Radio  and  Periodical  Division  of  the 
Federal  Trade  Commission  were  released  this  week  as  a  supplement 
to  the  report  issued  April  13. 

"Of  the  total  334,532  commercial  radio  continuities 
examined  during  the  first  half  of  the  calendar  year  1939,  (later 
data  not  available),  15,390  originated  from  commercial  broadcasts 
by  nation-wide  networks",  the  FTC  stated.  "Of  these  latter  con¬ 
tinuities,  22.2$  were  marked  and  referred  for  further  investiga¬ 
tion. 


"Owing  to  the  obvious  interstate  appeal  of  advertisers 
utilizing  the  broadcast  facilities  of  nation-wide  networks, 
copies  of  network  commercial  continuities  are  procured  on  a  con¬ 
tinuous  weekly  basis,  and  the  commercial  script  examined,  there¬ 
fore,  comprised  all  such  network  announcements . 

"Commercial  radio  continuities  are  procured  from  indivi¬ 
dual  station  broadcasters,  (for  non-network  broadcasts)  uniformly 
as  to  frequency  and  length  of  period  sampled,  (and  irrespective 
of  transmittal  power) ;  with  returns  being  staggered  and  propor¬ 
tionated  throughout  the  year. 

"From  the  total  305,787  commercial  continuities  examined 
in  script  rendered  by  individual  station  broadcasters,  150,192 
comprised  commercial  continuities  broadcast  by  medium-powered 
regional  stations.  Of  these  latter  continuities,  3.3$  were  marked 
for  further  investigation. 

"On  a  whole,  it  was  observed  that  the  average  commercial 
continuities  representing  nation-wide  network  broadcasts,  were 
about  7  times  the  script  length  of  those  rendered  for  individual 
station  commercial  announcements. 

"Commercial  continuities  covering  the  built-in  commercial 
portions  of  electrical  transcription  recordings  intended  for  radio 
broadcasts,  are  procured  on  a  continuous  monthly  basis  direct  from 
the  producers  of  such  recordings.  (Therefore,  while  the  continuity 
data. presented  for  this  type  of  broadcast,  represented  all  com¬ 
mercial  recordings  of  the  producers,  there  is  no  data  available 
to  indicate  the  number,  or  period  of  time  that  copies  of  such 
recordings,  may  have  been  repeated  over  the  air  through  the  facil¬ 
ities  of  multiple  stations.) 

"The  completed  tabulation,  showing  other  particulars 
representing  each  group  type  of  broadcaster  whose  commercial  con- 

-  2  - 


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7/16/40 


tinuities  were  included  in  the  advertising  surveys  during  the 
first  half  of  1939,  are  given  in  the  data  presented  below, 
(individual  broadcasters  are  grouped  according  to  their  respective 
authorized  maximum  night  transmittal  power,  prevailing  during 
the  broadcast  period  reported  upon.  )  " 


Comme rcial 
Continuities 

Broadcasters  Surveyed 

Type  of  Broadcaster 
Maximum  Night  Power 

Quantity 

Examined 

Per  Cent 
Marked 

Script 

Procured 

Stations  or  Net¬ 
works  Recre  sente  d 

Nation-Wide  Networks 

15,390 

22.  2$ 

100$ 

3 

Regional  Networks 

9,228 

6.  5$ 

100$ 

22 

Total  All  Networks 

24,618 

16.4 $ 

100$ 

25 

Individual : 

Low  Local 
(100  watts) 

113,927 

2.3 $ 

16-2/3$ 

308 

Med.  Regional 
(1,000  watts) 

150,192 

3.  5% 

16-2/3$ 

252 

High  Regional 
(10  kw) 

19, 736 

4.4 $ 

16-2/3$ 

36 

Clear  Channel 
(Inc. Special  High) 
(25  Kw-300  Kw) 

21,932 

7.0$ 

16-2/3$ 

36 

Total  Individual 
Station 

305,787 

3.5% 

100$ 

632 

Transcriptions 

4,127 

13.4% 

100$ 

— 

334,532  4.  2$ 


’’The  percentages  and  other  statistics  presented  relate 
only  to  the  initiation  of  inquiry  and  are  not  necessarily  repre¬ 
sentative  of  any  final  adverse  action  taken  by  the  Commission", 
the  report  explained. 

"In  analyzing  advertising  survey  data  of  this  Commission, 
which  may  be  procured  through  its  Radio  and  Periodical  Division, 
consideration  should  be  given  to  the  fact  that  this  data  is  derived 
only  from  representative,  selected  advertising  mediums,  and  select¬ 
ed  advertisements  therein,  deemed  pertinent  to  the  Division’s  and 
the  Commission's  work.  Resultant  marked  specimens  of  advertising, 


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7/16/40 


often  originate  from  similar  individual  advertising  mediums; 
and  the  surveys  do  not  comprise  a  complete  coverage  of  all 
magazines  or  newspapers  or  all  radio  commercial  broadcasts. 

"Owing  to  the  limited  size  of  examining  staff  available 
and  the  large  volume  of  local  commercial  radio  announcements 
broadcast,  such  commercial  continuities  are  procured  from  individ¬ 
ual  station  broadcasters,  (non-network) ,  on  an  equal  representative 
basis.  However,  for  practical  use  by  the  Commission,  experience 
has  proved  that  the  commercial  script  rendered,  includes  current 
representative  specimens  of  practically  any  national  or  regional 
advertising  campaign  of  consequence,  pertaining  to  products  in 
commerce,  disseminated  through  such  broadcasters. 

"Many  commercial  radio  continuities  and  published 
advertisements  marked  in  the  preliminary  stage  as  warranting 
further  investigation, may  pertain  to  respective  cases  already 
receiving  legal  attention  in  the  Commission;  and  various  specimens 
included,  may  be  only  duplicates  of  similar  representations  pre¬ 
viously  observed,  or  also  in  process  of  appropriate  attention; 
and  the  number  of  marked  specimens  tabulated,  do  not  of  them¬ 
selves  signify  the  existence  of  a  like  number  of  cases,  prospect¬ 
ive  or  pending.  " 

XXXXXXXXXX 


NAB  SEEKS  "FREE  RADIO"  IN  DEMOCRATIC  PLATFORM 


The  broadcasting  industry  will  try  to  get  the  Democrats 
to  include  "free  radio"  plank  in  the  convention  platform  this 
week. 


Since  the  Republican  National  Convention  in  Philadelphia 
June  19  unanimously  adopted  a  radio  plank  endorsing  the  principle 
of  free  radio  on  a  parity  with  the  press,  it  is  expected  that 
the . Democratic  Convention  will  follow  through  in  similar  fashion, 
Neville  Miller,  President  of  the  National  Association  of  Broad¬ 
casters,  and  members  of  the  NAB’  Legislative  Committee  will  appear 
before  the  Democratic  Resolutions  Committee  on  behalf  of  such  a 
plank. 

In  addition  to  Mr.  Miller,  it  is  likely  that  Harry  C. 
Butcher,  CBS  Washington  Vice-President  and  member  of  the  Legislat¬ 
ive  Committee;  John  A.  Kennedy,  West  Virginia  Network,  Chairman 
of  the  Legislative  Committee,  and  F.  M.  Russell,  NBC  Washington 
Vice-President,  will  appear  before  the  Democratic  Board. 

XXXXXXXXXX 


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7/16/40 


ZENITH  WELCOMES  TEST  CASE  WITH  TRADE  COMISSION 


E.  F.  McDonald,  Jr.  ,  President  of  the  Zenith  Radio 
Corporation,  Chicago,  this  week  stated  that  he  welcomes  the  test 
case  instituted  late  last  week  by  the  Federal  Trade  Commission 
against  Zenith  for  alleged  misleading  advertising. 

"Information  released  by  the  Federal  Trade  Commission 
at  Washington  indicates  that  a  formal  complaint  was  issued 
against  the  Zenith  Radio  Corporation  because  of  certain  advertis¬ 
ing  practices",  Commander  McDonald  said.  "The  points  of  this 
case  have  been  discussed  at  length  by  Zenith,  the  Radio  Manu¬ 
facturers*  Association  and  many  members  of  the  industry  with  the 
FTC  over  a  period  of  years  and  its  disposition  will  represent 
the  first  complete  determination  of  the  questions  involved.  Behind 
all  the  legal  wording  of  this  complaint  is  the  first  step  in  a 
friendly  proceeding  to  attempt  to  give  test  case  background  to 
several  points  raised  by  the  Commission. 

"First,  they  desire  to  stop  the  advertising  of  ballast 
resistors  as  tubes,  a  practice  which  has  long  since  been  abandoned 
not  only  by  Zenith  but  other  major  manufacturers  of  the  industry. 

"Second,  to  ascertain  whether  magic  eye  tubes,  recti¬ 
fier  tubes  and  other  special  purpose  tubes  should  properly  be 
referred  to  as  tubes  in  advertising.  These  tubes  have  been  des¬ 
cribed  as  tubes  by  the  manufacturers  and  the  industry  generally  in 
the  forty  million  radios  that  are  now  in  use. 

"It  also  strangely  appears  from  this  complaint  that  the 
Commission  questions  whether  a  radio  may  be  sold  for  the  reception 
of  foreign  programs  and  whether  it  is  proper  to  advertise  the  fact 
that  German,  French,  Russian  and  Italian  short-wave  broadcasts 
are  now  conducted  in  English. 

"Zenith  welcomes  the  test  case  as  I  feel  sure  will  the 
entire  industry. " 

Zenith  was  charged  in  the  FTC  complaint  with  mislead¬ 
ingly  advertising  the  number  of  tubes  contained  in  its  radio 
receiving  sets  and  the  power  and  capacity  of  such  sets  for  foreign 
receotion. 

# 

The  complaint  alleged  that  Zenith  has  advertised,  among 
other  things: 

"Zenith  Short-Wave  Radios  are  guaranteed  to  bring 
in  Europe,  South  America,  or  the  Orient  every  day  or 
your  money  back’  *  *  *" 

"Positively  the  greatest  1940  Zenith  values  ever 
offered  ten- tube  supe rheterodyne^^eleven-tube  super- 

heterodyne*’-55""’  radio  console  with  eight  tubes  ***  the 

-  5  ~ 


7/16/40 


amazing  new  1940  eight- tube,  three  band  Radiorgan 
Zenith  long  distance  radio  ***  six  tubes!  Push  but¬ 
tons.1  Long  and  short-wave  ***  six-tube  heterodyne 
with  wave  magnet  aerial,  two-button  Radiogram.  ,f 

"These  representations  and  others  made  by  the  respond¬ 
ent",  the  FTC  charged,  "are  misleading,  for  in  truth  the  Zenith 
radio  sets  are  not  equipped  with  six,  eight,  ten  or  eleven  active, 
necessary,  fully  functioning  tubes,  but  contain  one  or  two,  or 
more  ballast  non-functioning,  or  tuning  beacon  tubes,  or  rectifier 
tubes  which  do  not  serve  as  amplifying,  detecting,  or  oscillating 
tubes  and  do  not  perform  any  recognized  and  customary  function 
of  a  radio  receiving  tube  in  the  detection,  amplification  and 
reception  of  radio  signals. 

"Contrary  to  the  respondent's  representations",  the  FTC 
added,  "Zenith  radio  sets  equipped  with  such  tubes  will  not  bring 
in  broadcasts  from  London,  Paris,  Berlin,  Moscow,  Rome,  and  other 
points  in  Europe  and  from  South  America  and  the  Orient  in  suf¬ 
ficient  volume,  free  from  static,  to  be  distinctly  heard  at  all 
times  and  under  all  conditions, " 

The  complaint  grants  Zenith  20  days  for  filing  answer 
to  the  charges. 

Criticism  of  the  Trade  Commission's  procedure  in  public¬ 
izing  complaints  before  the  respondent  has  an  opportunity  to 
answer  them  was  criticized  last  week  by  representatives  of  the 
Association  of  National  Advertisers.  C.  S.  McMillan,  ANA  Secre¬ 
tary,  and  I.  W.  Digges,  ANA  counsel,  attacked  various  phases  of 
Federal  Trade  Commission  procedure  at  a  hearing  of  the  Attorney 
General's  Committee  on  Administrative  Procedure  in  Washington. 
During  the  last  several  weeks  the  Committee  has  been  holding  hear¬ 
ings  at  which  private  parties  are  given  an  opportunity  of  voicing 
their  suggestions  on  procedure  of  Government  administrative  agen¬ 
cies. 


The  ANA  representatives'  principal  criticism  lay  with 
the  FTC  procedure  in  issuing  complaints  against  business  concerns 
"relating  to  alleged  falsity  of  advertising  claims  before  there 
has  been  any  determination  on  the  merits  of  such  claims".  Mr. 
McMillan  declared  this  practice  on  complaints  "often  results  in 
very  real  damage  to  national  corporations",  since  the  publicity 
accorded  complaints  may  be  used  by  competitors  to  damage  a  concern 
and  also  makes  a  bad  impression  on  the  public.  Mr.  Digges  recom¬ 
mended  that  complaints  be  withheld  until  the  defendants  have  an 
opportunity  to  answer,  and  that  both  sides  of  the  case  be  made 
public  simultaneously. 


XXXXXXXXXX 


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7/16/40 


NAMING-  OF  COMMUNICATIONS  DEFENSE  BOARD  AWAITED 


Announcement  of  the  appointment  of  a  Defense  Communi¬ 
cations  Committee  comprising  Government  officials  concerned  with 
radio  and  wire  regulation  was  expected  to  be  made  at  the  White 
House  this  week  or  next. 

James  L.  Fly,  Chairman  of  the  Federal  Communications 
Commission,  stated  at  his  press  conference  on  Monday  that  all 
preliminary  work  had  been  done  and  that  the  matter  is  in  the 
P  re  s i dent 1 s  hands . 

A  suggestion  by  Neville  Miller,  President  of  the  National. 
Association  of  Broadcasters,  that  a  communications  expert  from  the 
industry  be  appointed  to  serve  with  the  National  Defense  Commis¬ 
sion  headed  by  William  S.  Knudsen,  has  not  met  with  the  approval 
of  Chairman  Fly. 

Whether  this  difference  of  opinion  has  caused  a  delay  in 
the  creation  of  the  Communications  Committee  was  not  known 
definitely. 

Mr.  Miller  suggested  in  a  letter  to  Chairman  Fly  that 
an  outstanding  communications  authority  should  be  appointed  to 
the  Defense  Commission  to  give  the  industry  the  same  representa¬ 
tion  accorded  other  fields.  Mr.  Fly,  however,  points  out  that 
co-ordination  of  activities  is  required  for  communications,  where¬ 
as  the  Defense  Commission  deals  principally  with  procurement 
problems. 


While  Mr.  Fly  declares  the  industry  will  be  consulted 
if  the  plan  for  a  separate  governmental  board  is  approved,  industry 
is  said  to  be  apprehensive  that  a  Board  composed  entirely  of 
Government  officials  would  be  a  forerunner  of  Government  operation. 
Although  Government  officials  disclaim  such  intention,  it  is  known 
that  certain  FCC  members  are  inclined  toward  this  objective. 

Sub-committees  representing  the  various  branches  of  the 
communications  industry  are  expected  to  be  appointed  as  aides  to 
the  governmental  Communications  Committee. 

XXXXXXXXX 

Selection  of  the  winner  of  the  Paley  Amateur  Radio  Award 
for  1939  has  been  waived  by  the  Board  of  Judges.  This  action  was 
suggested  by  the  American  Radio  Relay  League  because,  in  its  opin¬ 
ion,  no  candidate  was  named  whose  accomplishments  in  "research, 
technical  development  or  operating  achievement"  justified  pre¬ 
sentation.  William  S.  Paley,  President  of  the  Columbia  Broadcast¬ 
ing  System,  is  donor  of  the  prize. 

XXXX  XXXXXXX 

-  7  - 


7/16/40 


FCC  WORKING  ON  TREATY  REALLOCATIONS,  SAYS  FLY 


The  staff  of  the  Federal  Communications  Commission  is 
busily  engaged  in  preparing  proposed  reallocations  of  most  of  the 
nation1 s  broadcasting  stations  in  accordance  with  the  provisions 
of  the  Havana  Treaty,  Chairman  James  L.  Fly  stated  this  week. 

At  the  same  time  he  indicated  that  the  reallocation  may 
not  take  place  in  the  early  Fall,  as  had  been  anticipated,  by 
explaining  that  the  October  1st  date  was  fixed  at  the  time  when 
broadcast  licenses  would  expire  and  not  as  the  time  when  the  re¬ 
allocation  necessarily  would  become  effective. 

Meanwhile,  reports  were  current  that  the  FCC  is  divided 
on  the  question  of  retaining  clear  channels  as  provided  in  the 
treaty  and  the  broadcasting  industry  was  represented  as  being 
deeply  concerned  over  the  Commission's  delay  in  making  the  Havana 
pact  operative. 

XXXXXXXXX 


COMMISSION  MUST  ACT  ON  REQUESTS  FOR  MONOPOLY  PROTEST 


The  Federal  Communications  Commission  must  determine 
whether  it  will  accept  briefs  in  opposition  to  provisions  of  the 
monopoly  report,  Chairman  James  L.  Fly  stated  this  week  in  res¬ 
ponse  to  questions.  He  explained  that  the  Columbia  Broadcasting 
System  already  has  asked  permission  to  file  such  a  brief. 

The  Chairman's  statement  was  made  despite  the  fact  that 
he  did  not  contradict  John  J.  Burns,  special  counsel  for  the 
Columbia  Broadcasting  System,  when  he  told  the  Senate  Interstate 
Commerce  Committee  last  week  that  Mr.  Fly  had  indicated  that  all 
parties  would  be  accorded  the  privilege  of  filing  briefs.  The 
FCC  Chairman  was  present  at  the  time. 


CBS  counsel  has  charged  that  the  report,  so  far  as  it 
concerns  Columbia,  is  full  of  errors  and  "unwarranted"  conclusions, 
especially  with  regard  to  the  CBS-Paramount  deal. 


xxxxxxxx 


World  Radio  Market  reports  issued  recently  by  the  U. S. 
Bureau  of  Foreign  and  Domestic  Commerce  include  the  following: 
Seychelles,  Sierra  Leone,  Belgian  Congo,  Costa  Rica,  and  Iceland. 

XXXXXXXX 

-  8  - 


7/16/40 


STATIONS  DON’T  HAVE  TO  QUOTE  RATES, 


SAYS  FCC 


A  New  Yorker  inquires  of  the  Federal  Communications 
’’whether  a  company  operating  a  commercial  radio  station  is  under 
a  duty  to  quote  rates  for  time  not  sold  and  to  sell  such  time  if 
its  rates  are  met."  Under  the  Communications  Act  a  radio  broad¬ 
cast  station  is  expressly  declared  not  to  be  a  common  carrier, 
the  Commission  replied.  Accordingly,  except  the  provision  which 
relates  to  candidates  for  public  office,  a  radio  broadcast  station 
is  under  no  obligation  to  quote  rates  or  sell  time.  Hence  a  radio 
broadcast  station  is  unlike  some  other  classes  of  radio  stations  - 
notably  radiotelegraph  and  radiotelephone  which  have  the  status 
of  common  carriers  and  are  required  to  furnish  service  in  accord¬ 
ance  with  tariffs  filed  with  the  Commission. 

From  the  same  city  comes  a  lone  letter  protesting  cer¬ 
tain  restrictions  imposed  upon  amateurs  at  the  present  time.  By 
way  of  explanation,  the  Commission  replied  in  part: 

” Although  it  is  realized  that  these  orders  will  probably 
cause  inconvenience  and  annoyance  to  some  of  the  amateur  operators, 
the  Commission  feels  that  the  recent  restrictions  and  requirements 
are  not  only  entirely  justified  but  that  they  are  necessary  actions 
in  the  interests  of  neutrality  and  national  defense.  From  the 
responses  received  from  amateur  organizations  and  individual 
amateurs  throughout  the  country,  it  appears  that  the  amateurs 
themselves  are  appreciative  of  the  reasons  necessitating  the  adop¬ 
tion  of  these  orders  and  that  they  will  fully  cooperate  in  their 
enforcement.  As  you  are  undoubtedly  aware,  this  Commission  is 
cognizant  of  the  valuable  services  rendered  to  radio  and  the  na¬ 
tion  by  its  amateurs  and  has  on  numerous  occasions  made  public  its 
appreciation  of  those  services.  The  Commission  does  not  believe 
that  the  order  requiring  more  detailed  proof  of  citizenship  than 
has  been  required  in  the  past  can  be  construed  as  an  indication  of 
distrust  of  the  American  amateurs.  This  is  also  true  as  to  the 
commercial  operator  to  whom  that  order  also  applies.  Requiring 
fingerprints  is  not  an  indication  of  suspicion.  You  will  be  inter¬ 
ested  to  know  that  all  Federal  employees  under  Civil  Service  have 
been  required  to  submit  fingerprints  for  a  number  of  years. " 

Since  the  Commission  lacks  jurisdiction  in  the  matter, 
it  has  suggested  to  a  Palm  Beach  woman  that  she  submit  to  independ¬ 
ent  stations  and  networks  a  prayer  that  she  wants  to  be  broadcast 
twice  daily  throughout  the  United  States. 

In  response  to  query  from  Chicago,  the  Commission  advis¬ 
ed  that  there  is  no  rule  or  regulation  pertaining  to  the  solicita¬ 
tion  of  funds  over  the  air,  a.nd  that  the  matter  is  one  within  the 
discretion  of  station  management. 

The  Commission  said  it  is  likewise  without  authority  to 
take  remedial  action  with  respect  to  the  following  complaints: 


9 


7/16/40 


A  Brooklyn,  N.Y. ,  man  is  irked  because  a  network  sub¬ 
stituted  an  address  by  Winston  Churchill  for  the  usual  baseball 
program. 

A  Washington,  D.  C. ,  man  alleges  failure  of  a  network 
to  advise  the  listening  audience  concerning  the  reconvening  of  the 
Republican  National  Convention. 

A  San  Francisco  listener  takes  issue  with  the  “man  in 
the  street”  type  of  programs. 

A  Bronx,  N.Y. ,  individual  would  bar  the  radio  to  minor¬ 
ity  groups. 

A  Lynn,  Mass. ,  florist  dislikes  radio  advice  to  purchase 
hosiery  for  Mother’s  Day  gifts  rather  than  flowers. 

xxxxxxxxx 


PARTY  CONVENTIONS  PROVE  EXPENSIVE  TO  NETWORKS 


The  Republican  and  Democratic  conventions  will  cost  the 
major  networks  well  over  $500,000,  it  appeared  this  week,  as 
accurate  reports  on  the  Philadelphia  hook-ups  were  released. 

The  networks  lost  in  commercial  accounts  and  paid  out  of 
their  pockets  a  total  of  $564,700  to  cover  the  Republican  conclave, 
of  which  more  than  $300,000  was  for  rebates  made  to  advertisers 
whose  programs  were  cancelled. 

The  Democratic  convention  is  not  expected  to  be  quite 
so  expensive,  especially  if  it  continues  only  four  days  as  has 
been  predicted. 

The  detailed  expenses  of  the  networks  at  Philadelphia 

were : 


Out-of-pocket  costs  of  convention  coverage  were  set  at 
$15,000  by  NBC,  $25,000  by  CBS  and  $8,000  by  MBS,  a  total  of 
$4'8,000.  Commercial  cancellations  cost  NBC  $87,500  for  time  and 
$58,000  for  talent  rebates.  CBS  lost  $125,000  in  time  charges 
and  $45,000  in  talent  rebates.  Mutual  concalleations  totaled  $1,200. 

XXXXXXXXXX 

RADIO  MEN  INVITED  TO  JOIN  R.A.F.  BY  BRITISH 

An  appeal  to  American  radio  operators  and  fliers  to  en¬ 
list  in  the  Royal  Air  Force  via  Canada  came  this  week  from  Great 
Britain  through  American  correspondents. 

The  service  for  radio  operators,  it  was  said,  would  be 
both  on  the  ground  and  in  the  air.  Ground  operators  would  be 
acceptable  up  to  50  years  of  age  although  the  age  limit  for  fliers 
is  18  to  32. 

XXXXXXXXXX 
-  10  - 


7/16/40 


NILES  TRAMMELL  NAMED  PRESIDENT  OF  NBC 


Niles  Trammell,  Executive  Vice-President,  was  elected 
President  of  the  National  Broadcasting  Company  at  the  regular 
meeting  of  the  Board  of  Directors  in  New  York  City  last  Friday. 

He  succeeds  Lenox  R.  Lohr,  who  resigned  to  accept  the  post  of 
President  of  the  Chicago  Museum  of  Science  and  Industry.  Mr. 

Lohr' s  resignation,  announced  June  7th,  was  accepted  at  the  NBC 
Board  meeting,  and  Mr.  Trammell  was  elected  as  his  successor. 

The  announcement,  made  by  David  Samoff,  Chairman  of 
the  Board  of  the  National  Broadcasting  Company,  stated. 

"The  National  Broadcasting  Company  at  its  regular  meet¬ 
ing  of  Directors  held  here  (New  York  City)  today,  accepted  the 
resignation  of  Lenox  R.  Lohr  as  President,  tendered  on  June  7th. 

The  Board  unanimously  expressed  its  appreciation  for  Mr.  Lohr’ s 
devotion  and  service  to  the  company  and  its  good  wishes  for  his 
continued  success  in  the  new  work  he  has  chosen. 

"Niles  Trammell,  who  for  the  past  18  months  has  been 
Executive  Vice-President  of  the  NBC,  was  then  elected  by  the  Board 
as  the  new  President  of  the  National  Broadcasting  Company. 

"In  electing  Mr.  Trammell,  the  Board  has  promoted  to  the 
presidency  a  man  who  has  risen  from  the  ranks  of  the  company.  He 
began  his  career  with  the  RCA  in  1923,  and  joined  the  National 
Baordcasting  Company  in  1928,  where  he  has  achieved  outstanding 
success  as  a  broadcasting  executive  both  in  Chicago  and  in  New 
York.  He  now  brings  to  the  position  of  President,  17  years  of 
experience  in  communications,  merchandising  and  broadcasting. 

"Mr.  Trammell  is  46  years  of  age.  It  is  a  distinction 
to  a  young  industry  that  it  has  produced  from  its  ranks  a  young 
executive  of  his  type.  Mr.  Trammell's  successive  advances  in  posi¬ 
tions  of  responsibility  with  the  NBC  have  been  made  as  the  broad¬ 
casting  industry  grew  from  small  beginnings  to  a  nation-wide  ser¬ 
vice  of  entertainment,  information  and  education,  and  as  a  medium 
of  vital  service  to  commerce  and  industry. 

"His  intimate  knowledge  of  broadcasting,  his  popularity 
and  wide  acquaintanceship  in  all  segments  of  the  industry,  and  his 
contributions  to  the  development  of  nation-wide  broadcasting,  are 
important  assets  of  the  company  he  now  heads. " 

xxxxxxxxx 

The  following  appeared  in  the  syndicated  column  of  Harlan 
Miller,  Washington  columnist: 

"Lady  Bountiful:  Mrs.  Roosevelt  has  developed  a  great 
fondness  for  making  people  gifts  of  radios.  She  buys  them  by  the 
wholesale,  sometimes  around  a  hundred  a  year,  to  give  to  friends 
and  acquaintances.  Probably  she  buys  more  radio  sets  than  any 
other  individual.  " 

XXXXXXXXX 
-  11  - 


E.  &  P.  SEES  ADVANTAGE  FOR  NEWSPAPER  ADVERTISERS 


Editor  &  Publisher  last  week  called  attention  with  a 
note  of  sarcasm  to  the  necessary  cancellation  of  sponsored  pro¬ 
grams  during  the  political  conventions. 

"The  Republican  National  Convention  in  Philadelphia, 
the  coming  Democratic  meeting,  and  a  number  of  extra- inning  ball 
games  have  given  national  advertisers  on  the  radio  a  foretaste  of 
what  they  can  expect  during  the  Fall  political  campaigns",  It  said 
in  an  editorial.  "Nearly  two- score  regularly  scheduled  advertis¬ 
ing  programs  were  cut  off  or  curtailed  during  the  Philadelphia 
meeting,  so  that  the  public  could  get  all  the  thrills  of  a  ring¬ 
side  seat  at  the  G. O.P.  shindig. 

"For  the  past  decade,  these  conventions  have  been  staged 
as  much  for  the  radio  as  they  have  for  the  nomination  of  candidates, 
it  has  seemed  to  some  observers.  Business  has  been  strung  out 
over  four  or  five  days  when  it  might  well  be  concluded  in  two, 
if  business  was  the  only  consideration.  Even  the  Democrats, 
facing  what  seems  to  be  a  foregone  conclusion  of  their  meeting, 
are  likely  to  follow  the  four-day  tradition. 


"Radio  advertisers  have  no  choice  in  the  matter.  They 
are  committeed  to  continuity  of  schedule  on  their  own  part,  but 
the  stations  and  networks  exercise  their  privilege  of  cutting  a 
scheduled  commercial  whenever  news  of  public  interest  emerges. 

In  any  case,  no  advertiser’s  message  stands  any  chance  of  atten¬ 
tion  in  competition  with  the  roar  of  a  convention  crowd,  a  succes¬ 
sion  of  staccato  war  bulletins,  or  the  play-by-play  of  a  tense 
ball-game.  When  radio  news  is  hot,  the  advertiser  draws  a  shut-out. 


"We  commend  that  fact  to  our  newspaper  advertising 
friends,  the  representatives,  and  the  advertising  agencies.  If 
advertising  continuity  and  consistency  has  the  value  that  the 
radio  salesmen  place  upon  it,  and  we  believe  their  argument,  it 
seems  to  us  that  it  can  be  found  best  in  newspaper  columns.  There 
are  only  24  hours  around  the  clock  twice,  but  there  is  no  limit 
today  on  the  space  available  for  advertising  in  newspapers. " 


XXXXXXXXXX 


STORY  OF  TELEVISION  TOLD  BY  11  EXPERTS 


"We  Present  Television",  a  series  of  reports  on  the  state 
and  history  of  visual  broadcasting  by  11  experts,  has  just  recently 
been  released.  Edited  by  John  Porterfield  and  Kay  Reynolds,  it  is 
published  by  W.  W.  Norton  &  Co.  , New  York,  and  sells  for  $3.00. 

Writers  who  have  contributed  to  the  volume  are:  Alfred 
H.  Morton,  Vice  President  in  Charge  of  Television  for  NBC;  Donald 
G.  Fink,  Managing  Editor  of  "Electronics";  0.  B.  Hanson,  NBC  Vice- 
President  and  Chief  Engineer;  Charles  E.  Butterfield,  radio  writer; 
J.  R.  Poppele,  Chief  Engineer  of  WOR;  Thomas  H.  Hutchinson,  NBC 
Television  Program  Manager;  Thomas  Lyne  Riley,  NBC  Television  Dir¬ 
ector;  Earle  Larrimore,  actor;  Robert  Edmond  Jones,  stage  designer; 
Benn  Hall  of  Radii  Daily,  and  Harry  R.  Lubcke,  Director  of  Tele- 
etor  of  Television  for  the  Don  Lee  Broadcasting  System, Los  Angeles. 

XXXXXXXX  -12- 


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.  1 

■ 

tola  J  .  * 

■ .  •• 

: 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


FCC  And  RMA  Move  To  Break  Television  Deadlock . 2 

Radio  Freedom  Shows  Improvement,  Says  Union . 3 

First  Television  Station  For  San  Francisco  Speeded . 4 

Time  Extension  G-iven  International  Stations . 5 

British  Biggest  Buyer  Of  U.  S.  Radios . 6 

Six  Attorneys  Join  FCC  Law  Department . 6 

FCC  Begins  Hiring  Radio  Operators . 7 

Democrats  Place  Radio  On  Plane  With  Press . 7 

Westinghouse  Device  Stops  Waste  Of  Radio  Waves . . . 8 

BBC  Takes  To  Underground  Cover . 9 

Broadcast  Coverage  Increased  Through  Mutual  Arrangement . 10 

Trade  Notes . . . . . 10 

I.  T.  &  T.  Grets  CAA  Radio  Equipment  Order . 13 

U.  S.  Radios  Not  Adapted  For  Tropics,  Says  Coogan . .....13 


Radio  Makers  Ready  For  F-M  Broadcasting 


12 


FCC  AND  RMA  MOVE  TO  BREAK  TELEVISION  DEADLOCK 


The  Federal  Communications  Commission  and  the  Radio 
Manufacturers'  Association  moved  jointly  this  week  to  expedite 
the  commercialization  of  television. 

Following  the  suggestion  of  the  FCC  last  May,  when  the 
latest  television  regulations  were  issued,  the  RMA  announced  the 
organization  of  a  National  Television  Systems  Committee  which 
includes  non-members.  Chairman  James  L.  Fly,  of  the  FCC,  welcomed 
the  Committee  as  a  "splendid  opportunity  for  the  cooperation  of 
industry  and  Government  in  the  solution  of  a  problem  which  is  of 
such  timely  concern  to  the  public  and  to  business. " 

Organization  of  the  RMA  Committee  was  announced  by  Bond 
Geddes,  Executive  Vice  President,  upon  behalf  of  J.  S.  Knowlson, 
the  new  President  of  the  Association. 

Invitations  have  been  sent,  it  was  said,  to  the  follow¬ 
ing  companies  to  nominate  representatives  on  the  Television  Systems 
Committee : 


Columbia  Broadcasting  System,  Inc.,  Don  Lee  Broadcasting 
System,  Allen  B.  DuMont  Laboratories,  Inc. ,  Farnsworth  Television 
Radio  Corporation,  General  Electric  Company,  Hazeltine  Corpora¬ 
tion,  J.  V.  L.  Hogan,  Hughes  Tool  Company,  Institute  of  Radio 
Engineers,  Philco  Corporation,  Radio  Corporation  of  America, 
Stromberg- Carl son  Telephone  Manufacturing  Company,  and  Zenith 
Radio  Corporation. 

Dr.  W.  R.  G.  Baker  of  Bridgeport,  Conn. ,  Director  of  the 
the  RMA  Engineering  Department,  and  an  official  of  General 
Electric,  has  been  appointed  Chairman  of  the  new  National  Tele¬ 
visions  Systems  Committee.  The  Chairman,  while  correlating  the 
work  of  the  Committee,  will  have  no  vote. 

"I  think  I  am  safe  in  saying  that  both  the  Commission 
and  RMA  feel  that  in  this  way  we  are  setting  the  vexing  problem 
of  television  standards  on  a  path  which  will  lead  to  a  satis¬ 
factory  solution",  said  Mr.  Knowlson.  "We  are  both  encouraged  to 
feel  that  by  so  doing  we  are  serving  the  interests  of  all  concern¬ 
ed.  " 


A  meeting  of  the  Committee  with  Chairman  Fly  and  pos¬ 
sibly  the  FCC  Chief  Engineer,  E.  K.  Jett,  was  expected  to  be  held 
the  latter  part  of  this  month,  probably  July  31,  in  New  York  City. 

The  FCC,  in  a  formal  release,  stated  that  in  following 
through  its  promise  of  May  28th  that  it  "stands  ready  to  confer 
with  the  television  industry  and  otherwise  assist  in  working  out 


2 


7/19/40 


television's  remaining  problems. H  The  Committee,  the  FCC  said, 
"should  be  of  value  in  the  advancement  of  television  to  a  satis¬ 
factory  level  of  performance  that  will  insure  a  general  and  wide¬ 
spread  public  service. " 

The  Commission  recently  paved  the  way  for  an  Increased 
number  of  television  stations  throughout  the  country  with  a  view 
to  crystalizing  their  experimentation  with  different  systems  into 
a  uniform  standard  upon  which  commercialized  visual  broadcasting 
may  be  safely  launched.  A  previous  television  hearing  had  reveal¬ 
ed  a  serious  conflict  of  engineering  opinion  upon  the  question  of 
standards  among  the  representatives  of  various  responsible  ele¬ 
ments  in  the  Industry  engaged  in  important  research  and  experi¬ 
mental  work. 

"Because  of  the  inadequacy  of  the  various  suggested 
standards",  the  FCC  continued,  "the  new  group  will  explore  exist¬ 
ing  television  systems  with  a  view  to  developing  and  formulating 
standards  that  will  be  acceptable  to  the  industry  as  a  whole  in 
expediting  establishment  of  a  single  well-founded  national  system  - 
one  which  has  promise  of  ultimately  giving  this  country  more  tele¬ 
vision  stations  and  receivers  than  all  other  nations  combined, 
with  resultant  benefits  to  manufacturers,  dealers,  and  broadcasters, 
as  well  as  the  public. 

"This  project,  though  sponsored  by  the  Radio  Manufactur¬ 
ers'  Association,  will  operate  independently  and  represent  the 
majority  opinion  of  the  industry.  Membership  will  not  be  limited 
to  the  association;  it  will  embrace  representatives  of  companies 
broadly  interested  and  experienced  in  the  television  field,  also 
representatives  of  national  technical  organizations  desirous  of 
seeing  television  launched  on  a  firm  footing,  as  well  as  individ¬ 
ual  experts.  " 


yj 


xxxxxxxxxx 


RADIO  FREEDOM  SHOWS  IMPROVEMENT,  SAYS  UNION 


Freedom  on  the  radio  has  shown  marked  improvement  during 
the  past  year,  according  to  the  American  Civil  Liberties  Union  in 
its  report  issued  this  week. 

The  organization  found  that  censorship  of  motion  picture 
plays,  books,  and  radio  declined  sharply  last  year. 

XXXXXXXX 


3 


7/19/40 


FIRST  TELEVISION  STATION  FOR  SAN  FRANCISCO  SPEEDED 


Television  experimentation  tending  to  develop  uniform 
transmission  standards  of  acceptable  technical  quality,  plus  equip¬ 
ment  tests  and  training  of  technicians,  in  addition  to  experimental 
programs  which  the  public  may  enjoy,  are  assured  by  the  National 
Broadcasting  Company,  through  its  station  W2XBS  at  New  York,  and 
the  Don  Lee  Broadcasting  System,  through  W6XA0  at  Los  Angeles  and 
a  proposed  station  to  be  located  in  San  Francisco. 

Besides  confirming  its  previous  tentative  approval  of 
construction  of  the  San  Francisco  station,  the  Federal  Communica¬ 
tions  Commission  has  authorized  the  other  stations  mentioned  to 
use  the  new  television  channel  No.  1  (50,000-56,000  kilocycles). 
This  is  in  conformity  with  the  Commission's  announcement  of  June 
18  encouraging  the  widespread  distribution  of  experimental  facil¬ 
ities  to  promote  advancement  of  television. 

Stations  W2XBS  and  #6XA0  operated  on  the  former  tele¬ 
vision  channel  No.  1  (44,000-50,000  kilocycles)  which,  on  May  22, 
was  removed  from  the  television  band.  The  Commission's  approval 
of  the  use  of  the  new  television  channel  No.  1  was  conditioned 
upon  showing  of  acceptable  programs  of  research  and  development. 

National  Broadcasting  Company  reported  that  its  New 
York  station  will  continue  to  use  the  RMA  standard  but  will  in¬ 
crease  the  number  of  frame  lines  from  441  to  507.  In  collabora¬ 
tion  with  RCA,  it  will  review  the  various  types  of  transmission 
standards  under  laboratory  conditions  and,  if  necessary,  under¬ 
take  full  scale  field  testing.  Chance  in  polarization  of  W2XBS 
transmission  would  interfere  with  reception  by  receivers  in  the 
area  served,  since  antennas  there  are  for  horizontal  polarized 
signals.  However,  polarization  studies  will  be  conducted  by  RCA 
subsidiaries.  NBC  hopes  to  make  the  necessary  equipment  changes 
for  utilizing  the  new  channel  during  the  Summer  when  audience  in¬ 
terest  is  at  a  minimum.  The  work  will  require  about  two  months. 

Both  Don  Lee  stations  will  experiment  with  television 
transmission  using  525  lines,  30  frames  interlaced,  or  441  lines, 

30  frames  interlaced,  and  possibly  television  signals  of  other 
composition.  These  stations  will  make  tests  to  determine  the 
effect  of  the  different  power  supply  systems  on  reception  of  tele¬ 
vision  images,  and  propagation  characteristics  and  signal-to-noise 
ratios  will  be  compared  with  vertical  and  horizontal  oolarization 
Studies  will  also  be  made  of  co-channel  interference  between  the 
Los  Angeles  and  San  Francisco  stations. 

Station  W2XBS  operates  with  12  kilowatts  visual  and  15 
kilowatts  aural  power,  and  W6XA0  with  100  watts  visual  power  and 
150  watts  aural  power.  The  proposed  San  Francisco  station  will 
use  1  kilowatt  aural  and  visual  power. 

XXXXXXXX 


4  - 


7/19/40 


TIME  EXTENSION  GIVEN  INTERNATIONAL  STATIONS 


Sox  months  extension  of  time  to  comply  with  the  rule 
that  international  broadcast  stations  must  operate  with  power  of 
not  less  than  50  kilowatts  has  been  granted  by  the  Federal  Com¬ 
munications  Commission  in  the  case  of  eight  such  stations  which 
have  outstanding  construction  permits  or  have  applications  pending 
to  reach  that  minimum  power. 

These  stations  and  their  present  authorized  power  are: 
WPIT,  Westinghouse  Electric  &  Manufacturing  Co.,  which  is  to  move 
to  Hull,  Mass. ,  50  kilowatts;  WRUL,  World  Wide  Broadcasting  Corp. , 
Scituate,  Mass. ,  50  kilowatts;  WCBX,  Columbia  Broadcasting  System, 
near  Wayne,  N.  J. ,  10  kilowatts;  KGEI,  General  Electric  Co.,  San 
Francisco,  20  kilowatts;  WGEA,  General  Electric  Co.  ,  Schenectady, 
N.  Y. ,  25  kilowatts;  WNBI,  National  Broadcasting  Co.,  Bound  Brook, 
N.J.,  35  kilowatts;  WRCA,  National  Broadcasting  Co.,  same  place, 

35  kilowatts,  and  WRUW,  World  Wide  Broadcasting  Corp. ,  Scituate, 
Mass.  ,  20  kilowatts. 

Stations  which  are  already  complying  with  the  minimum 
power  prescribed  in  Section  4.45  of  the  Rules  Governing  Interna¬ 
tional  Broadcast  Stations  now  extended  to  January  1,  1941,  are 
WLWO,  Crosley  Corp. ,  Mason,  Ohio,  50  kilowatts,  and  WGEO,  General 
Electric  Co.  ,  So.  Schenectady,  100  kilowatts. 

The  remaining  international  broadcast  stations,  which 
have  not  yet  moved  to  bring  power  to  the  required  minimum,  are 
WCAB,  operated  by  the  WCAU  Broadcasting  Co. ,  Newton  Square,  Pa. , 

10  kilowatts;  WDJM,  Isle  of  Dreams  Broadcasting  Corp.,  Miami, 

Fla.  ,  5  kilowatts,  and  WBCS,  Westinghouse  Electric  and.  Bilanufactur- 
ing  Co.,  Millis,  Mass.,  10  kilowatts. 

Meanwhile,  the  Commission  has  acted  in  individual  inter¬ 
national  broadcast  station  cases  as  follows:  Granted  the  applica¬ 
tion  of  World  Wide  Broadcasting  Corp.  for  modification  of  license 
of  WRUL,  at  Scituate,  Mass. ,  to  operate  unlimited  time  on  6040 
kilocycles,  and  set  for  hearing  application  by  the  same  company 
for  unlimited  operation  of  WRUW,  at  Scituate,  Mass.  ,  on  6080  kilo  ¬ 
cycles;  granted  application  of  the  Crosley  Corp.  for  unlimited 
time  operation  by  WLWO,  at  Mason,  Ohio,  on  6080  kilocycles;  and 
deleted  station  WDJM,  at  Miami,  Fla.  ,  which  shared  frequency  with 
WRUL  and  has  now  sold  its  equipment  to  that  station. 

XXXXXXXX 

Dr.  Frank  Kingdon,  nationally  known  social  leader  and 
Executive  Director  of  the  Citizenship  Educational  Service,  has 
been  added  to  the  list  of  the  speakers  at  the  Eighteenth  Annual 
Convention  of  the  National  Association  of  Broadcasters  in  San 
Francisco  August  4-7. 

XXXXXXXXX 
-  5  - 


7/19/40 


BRITISH  BIGGEST  BUYER  OF  U.  S.  RADIOS 


United  States  exports  of  radio  receiving  sets  increased 
from  $655,679  in  April  of  this  year  to  $779,732  in  May,  according 
to  John  H.  Payne,  Chief  of  the  Electrical  Division,  Bureau  of 
Foreign  and  Domestic  Commerce. 

The  United  Kingdom  was  the  chief  contributor  to  this 
advance  with  purchases  of  14,218  sets  valued  at  $120,513,  an 
improvement  of  more  than  800  percent  in  number  and  300  percent  in 
value  over  April  purchases  of  1,546  units  valued  at  $30,407. 
Sizable  purchases  were  also  credited  to  Brazil,  Union  of  South 
Africa,  and  Mexico,  their  respective  shares  being  $85,817, 

$69,172,  and  $63,739.  Other  less  important,  but  still  noteworthy 
outlets  were  found  in  British  India,  Cuba,  Venezuela,  Philippine 
Islands,  Colombia,  China  and  Chile. 

Of  the  total  foreign  shipments  of  transmitting  sets, 
tubes  and  parts  which  aggregated  $308,775,  China  accounted  for 
$108,105  while  Switzerland  ranked  second  with  $35,221. 

xxxxxxxx 


SIX  ATTORNEYS  JOIN  FCC  LAW  DEPARTMENT 


The  Federal  Communications  Commission  this  week  announc¬ 
ed  the  following  additions  to  its  legal  staff: 

Lucien  Hilmer,  who  was  in  charge  of  the  New  York  office 
of  the  Senate  Interstate  Commerce  Committee  in  its  railroad 
investigation,  to  be  special  counsel. 

David  Lloyd,  formerly  Assistant  Chief  Counsel  of  the 
Senate  Civil  Liberties  Committee,  to  be  Special  Counsel  in  charge 
of  an  investigation  unit  within  the  Law  Department. 

Oscar  Schachter,  from  the  Wages  and  Hours  Division  of 
the  Department  of  Labor,  to  be  an  associate  attorney. 

Leo  Re  snick,  from  the  field  legal  staff  of  the  Public 
Works  Administration,  to  be  associate  attorney. 

Marcus  Cohn,  graduate  of  the  University  of  Oklahoma, 
University  of  Chicago  Law  School  and  Harvard  Law  School,  to  be 
associate  attorney. 

Philip  Elman,  at  present  law  clerk  to  Circuit  Judge 
Calvert  Magruder  of  the  First  Circuit,  to  be  assistant  attorney. 

XXXXXXXX 


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7/19/40 


FCC  BEGINS  HIRING  RADIO  OPERATORS 


Because  of  the  urgency  of  enlarging  its  field  staff, 
the  Federal  Communications  Commission  this  week  announced  it  would 
begin  hiring  radio  operators  at  once  and  permit  them  to  take 
Civil  Service  examinations  while  temporarily  employed. 

"In  view  of  the  emergency",  a  statement  said,  "the 
Federal  Communications  Commission  is  prepared  to  accept  applica¬ 
tions  from  licensed  commercial  operators  and  amateurs  for  appoint¬ 
ment  as  radio  operators  in  the  field  service,  with  the  under¬ 
standing  that  those  selected  will  be  given  temporary  employment 
for  ninety  days  and  examined  during  that  time  by  the  Civil 
Service  Commission.  The  temporary  employees  who  pass  the  Civil 
Service  examination,  and  are  reached  in  the  order  of  their  stand¬ 
ing  on  the  eligible  list,  will  receive  indefinite  probationary 
appointment  on  a  temporary  basis  as  the  present  emergency  may 
justify. " 


Some  of  the  appointees  will  be  assigned  to  Alaska, 
Hawaii,  and  Puerto  Rico/ 

Persons  holding  radiotelegraph  first  class  licenses  will 
be  appointed  to  fill  positions  at  $1800  per  annum  and  those  hold¬ 
ing  radiotelegraph  second  class  licenses  at  $1620  per  annum. 
Amateur  licensees  are  eligibile  providing  they  possess  certain 
qualifications  and  are  between  21  and  55  years  of  age. 

XXXXXXXX 


DEMOCRATS  PLACE  RADIO  ON  PLANE  WITH  PRESS 


Following  the  lead  of  the  Republican  convention,  the 
Democrats  in  Chicago  this  week  adopted  the  following  plant  in  its 
platform  with  regard  to  radio: 

"Radio  has  become  an  integral  part  of  the  democraticali 
accepted  doctrine  of  freedom  of  speech,  press,  assembly  and 
religion.  We  urge  such  legislative  steps  as  may  be  required  to 
afford  the  same  protection  from  censorship  that  is  now  afforded 
the  press  under  the  Constitution  of  the  United  States. 

"We  must  strengthen  democracy  by  improving  the  welfare 
of  the  people.  We  place  human  resources  first  among  the  assets 
of  a  democratic  society.  " 

XXXXXXXXXX 
-  7  - 


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7/19/40 


For  Release  -  Sunday,  July  21,  1940 

WESTINGHOUSE  DEVICE  STOPS  WASTE  OF  RADIO  WAVES 


Station  WBZ  will  stop  wasting  radio  waves  over  the 
Atlantic  when  its  new  50,000-watt  transmitter  is  opened  in  Hull, 
across  the  harbor  from  Boston,  on  July  27,  according  to  Ralph  N. 
Harmon,  Chief  Radio  Broadcasting  Engineer  of  the  Westinghouse 
Electric  and  Manufacturing  Company. 

With  a  modern  "traffic  cop"  antenna,  the  station  will 
put  its  radio  signals  on  a  one-way  avenue  and  concentrate  their 
strength  in  a  westerly  direction,  Mr.  Harmon  explained. 

He  said  that  WBZ*  s  problem  was  to  prevent  the  wasting 
of  waves  that  would  normally  be  spread  out  over  the  Atlantic  Ocean 
The  method  adopted  will  reflect  the  ocean-bound  waves  back  inland 
and  thus  effectively  double  the  station’s  power  for  listeners  in 
southern  New  England.  At  present  WBZ’ s  transmitter  is  located  at 
Millis,  Mass. ,  about  10  miles  west  of  Boston. 

"To  accomplish  this  effect",  stated  Mr.  Harmon,  "two 
transmitting  antennas  in  the  form  of  tall  towers,  have  been  erect¬ 
ed  about  250  feet  apart  along  an  east  and  west  line  at  Hull. 

Radio  signals  will  be  sent  out  from  both  antennas,  but  the  western 
most  one,  called  the  director,  will  let  them  go  about  one  four- 
millionth  (1/4, 000, 000) of  a  second  later  than  its  twin,  the 
reflector. " 

As  a  result,  Mr.  Harmon  went  on  to  explain,  waves  from 
the  reflector  will  reach  the  director  just  in  time  to  match,  or 
be  "in  phase"  with  the  waves  travelling  westward.  The  effect  will 
be  to  send  waves  of  double  strength  inland. 

But  in  the  other  direction  (toward  the  ocean)  waves  from 
the  director  will  reach  the  reflector  out  of  phase  (unmatched) 
with  the  waves  going  oceanward  from  the  reflector.  "In  other 
words,  the  two  sets  of  waves  in  this  direction  will  be  pushing  in 
opposite  directions,  since  they  are  one  quarter  of  a  wavelength 
apart,  and  their  power  will  cancel  out,  leaving  no  wave  at  all.  " 

The  effect  of  the  reflecting  antenna  was  explained  as 
the  same  as  when  a  polished  reflector  is  used  behind  a  lamp  to 
direct  all  its  light  in  a  desired  direction. 

XXXXXXXXX 

The  Federal  Communications  Commission  has  denied  a  pet¬ 
ition  of  the  Press-Union  Publishing  Co. ,  licensee  of  Station  WBAB 
at  Atlantic  City,  N.  J. ,  for  rehearing  of  the  Commission’s  action 
in  issuing  a  construction  permit  to  the  Neptune  Broadcasting  Corp. 
for  a  new  station  at  that  place  to  operate  on  1420  kilocycles  with 
100  watts  power  night  and  250  watts  until  local  sunset.  Station 
WBAB  operates  on  1200  kilocycles  with  250  watts  power,  unlimited 
time . 

xxxxxxxxxx 

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7/19/40 


BBC  TAKES  TO  UNDERGROUND  COVER 


With  Britain  threatened  with  invations,  the  British 
Broadcasting  Company  has  announced  that  radio  spokesmen  have  been 
moved  to  bombproof  shelters  constructed  deep  in  the  earth  '‘some¬ 
where  in  England",  The  nightly  short  wave  talks  have  been  emanat¬ 
ing  from  these  concrete  "catacombs"  since  July  7,  according  to  a 
BBC  announcement. 

All  precautions  have  been  taken  in  order  to  be  able  to 
continue  the  short  wave  transmissions  with  some  assurance  of  safety 
to  the  broadcasters,  it  was  stated.  Anti-aircraft  battery  crews, 
supported  by  men  in  sand  bagged  machinegun  nests,  scan  the  skies 
close  to  the  microphone  locations. 

These  wartime  studios  are  protected  by  thick  layers  of 
concrete  which  it  is  expected  will  withstand  the  heaviest  bombs. 
They  are  designed  to  be  soundproof.  Overhead  artillery  crashes, 
it  is  expected,  will  not  disturb  speakers  or  engineers  beneath. 

Discussing  these  "modern  catacombs  of  broadcasting", 

J.  B.  Priestley,  in  a  recent  talk  in  the  "Britain  Speaks"  series, 
said  he  and  his  fellow  broadcasters  in  the  BBC  overseas  service 
had  come  to  take  these  conditions  almost  for  granted. 

"There  are  different  types  of  accommodation  for  speakers 
according  to  the  conditions  prevailing  at  the  time",  the  novelist 
explained.  "But  even  if  cabinet  ministers  and  members  of  parlia¬ 
ment  have  to  put  up  with  inconvenience,  the  voice  of  Britain  will 
still  be  heard.  Sometimes  an  air  raid  warning  sounds  just  as  a 
scheduled  broadcast  to  America  is  about  to  begin.  Studios  are 
chosen  accordingly. " 

Besides  those  given  by  Mr.  Priestly,  several  talks  each 
week  on  short-waves  for  American  listeners  are  presented  by  Vernon 
Bartlett,  who  interprets  the  three  minute  summary  of  the  latest 
news  which  begins  at  7:00  P.M.  in  the  course  of  a  12  minute  talk 
immediately  following. 

The  "Britain  Speaks"  series,  is  now  aired  at  8:30  P.M. 
Ministers,  including  heads  of  departments,  are  heard  from  time  to 
time.  Their  talks  will  each  last  15  minutes,  and  be  followed  by 
an  entertainment  period  featuring  American  stage  and  motion  picture 
stars  now  in  Great  Britain.  This  continues  until  the  beginning  of 
the  news  summary  and  commentary. 

The  programs  are  heard  on  both  9.58  and  11.75  megacycles 
(31  and  25  meters)  from  GSC  and  GSD. 

XXXXXXXXX 
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7/19/40 


BROADCAST  COVERAGE  INCREASED  THROUGH  MUTUAL  ARRANGEMENT 


Another  example  of  mutual  cooperation  by  widely- separat¬ 
ed  broadcasting  stations  to  improve  public  service  is  reflected  in 
action  this  week  by  the  Federal  Communications  Commission  in  grant¬ 
ing  construction  permits  to  WCHS,  at  Charleston,  W.  Va.  ;  WDBO  at 
Orland<?,  Fla.  ,  and  WIBW  at  Topeka,  Kans.  ,  to  increase  night  power 
to  5  kilowatts.  The  three  stations  operate  on  580  kilocycles. 

By  working  out  directional  antenna  systems  they  are  able  to  greatly 
increase  their  respective  coverage  with  a  minimum  of  interference 
to  one  another. 

WCHS,  licensed  to  the  Charleston  Broadcasting  Company, 
has  heretofore  operated  with  500  watts  night  and  5  kilowatts  day, 
while  WDBO,  Orlando  Broadcasting  Co.  ,  Inc. ,  and  WIBW,  Topeka 
Broadcasting  Association,  Inc. ,  have  operated  with  1  kilowatt 
night  and  5  kilowatts  day. 

xxxxxxxxx 


TRADE  NOTES 


Radio's  part  in  furthering  favorable  relations  among  the 
Americas  is  being  augmented  with  establishment  by  the  Columbia 
Broadcasting  System  of  a  short-wave  studio  in  Inter-America  House 
at  the  New  York  World's  Fair.  Through  arrangements  completed  be¬ 
tween  CBS  and  the  Program  Committee  of  Inter- America  House, 
Columbia  will  have  exclusive  use  of  the  studio  to  bring  noteworthy 
events  at  the  Fair  to  listeners  in  South  America  over  both  WCBX, 
New  York,  and  the  network's  Philadelphia  short-wave  outlet,  WCAB. 
This  extensive  schedule  is  to  be  inaugurated  Wednesday,  July  24, 
with  a  program  commemorating  "Simon  Bolivar  Day. " 


The  National  Labor  Relations  Board  has  announced  an 
order  requiring  Indianapolis  Power  &  Light  Company,  Indianapolis, 
Indiana,  owner  of  Station  WFBM,  to  cease  discouraging  membership 
in  the  CIO's  United  Utility  Workers  Organizing  Committee  and  the 
AFL' s  Associated  Broadcast  Technicians'  unit  of  the  International 
Brotherhood  of  E]e  ctrical  Workers,  or  in  any  other  labor  union. 
The  company  was  also  required  to  cease  encouraging  membership  or 
in  any  manner  supporting  or  assisting  Indianapolis  Power  &  Light 
Employees'  Protective  Association. 

XXXXXXXXX 


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7/19/40 


I.  T.  &  T.  GETS  CAA  RADIO  EQUIPMENT  ORDER 


The  International  Telephone  Development  Company,  sub¬ 
sidiary  of  the  International  Telephone  and  Telegraph  Corporation, 
has  received  an  order  amounting  to  $537,547,  from  the  Civil  Aero¬ 
nautics  Authority  to  manufacture  and  install  airplane  instrument 
landing  systems  at  the  airports  of  six  cities  in  the  United 
States:  LaGuardia  Field,  N.Y. ;  Municipal  Airports  at  Chicago, 
Cleveland  and  Kansas  City;  Mines  Field,  Los  Angeles  and  Meacham 
Field,  Fort  Worth. 

With  the  exception  of  experimental  installations,  these 
instrument  landing  systems  will  be  the  first  ever  contracted  for 
by  the  United  States  Government  for  utilization  by  the  commercial 
airways  and  will  mark  a  decided  advance  in  the  application  of 
ultra-high  frequency  radio  to  aerial  navigation.  They  will  en¬ 
hance  the  safety  of  flying  as  well  as  relieve  the  congestion  caus¬ 
ed  at  busy  airports  during  times  when  large  numbers  of  airplanes 
must  their  turn  for  landing  when  weather  conditions  are  unfavorable 

The  C.A.A.,  other  government  agencies  and  private  com¬ 
panies  have  spent  thousands  of  dollars  and  years  of  experimenta¬ 
tion  and  research  to  bring  about  this  contribution  to  the  safety 
of  flying.  The  International  Telephone  Development  Company  was 
the  contractor  for  the  final  stages  of  this  development  work  and 
designed,  built  and  installed  for  the  C.A.A.  four  instrument  land¬ 
ing  systems  at  Indianapolis,  Indiana  in  1938.  With  these  systems 
every  conceivable  test  was  made  under  all  kinds  of  weather  condi¬ 
tions,  so  that  today,  in  the  installations  about  to  be  built,  all 
"bugs"  are  believed  to  have  been  eliminated  and  certainty  of 
operation  assured.  This  system  was  reported  upon  favorably  by  a 
special  committee  of  members  of  the  National  Academy  of  Sciences 
which  was  requested  by  President  Roosevelt  to  undertake  the  study 
of  the  problem  of  standardizing  instrument  landing  equipment  for 
airplanes. 


The  installation  of  these  equipments  will  commence  earl’ 
in  1941  and  they  will  be  placed  in  operation  about  the  middle  of 
the  year. 

xxxxxxxxx 

U.S.  RADIOS  NOT  ADAPTED  FOR  TROPICS,  SAYS  COOGAN 

Exports  of  radios  to  South  America  have  grown  smaller 
because  American  manufacturers  do  not  produce  sets  especially  de¬ 
signed  for  tropical  climates,  W.  A.  Coogan,  Foreign  Sales  Manager 
of  the  Hygrade  Sylvania  Radio  Tube  Corporation,  declared  this  week 
following  his  return  from  a  trip  to  South  and  Central  America  to 
explore  markets. 

He  said  that,  although  South  American  countries  were 
finding  themselves  forced  to  make  their  own  sets,  the  parts  and 
accessories  business  was  favorable,  according  to  the  business 
page  of  the  New  York  Times. 


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Mr.  Cooga.n  said  he  had  observed  unfavorable  economic 
conditions  throughout  South  America,  due  to  heavy  farm  surpluses 
which  were  piling  up  as  a  result  of  the  war.  He  pointed  out  that 
in  Argentina  the  loss  of  European  markets  had  meant  a  loss  in 
exports  of  60  percent  of  their  corn  crop,  56  percent  of  their 
hides,  40  percent  of  their  wool  and  25  percent  of  their  meat. 
Argentina,  he  continued,  has  surpluses  of  20,000,000  bushels  of 
wheat,  300,000,000  bushels  of  corn  and  500,000,000  million 
pounds  of  beef. 

,!The  unfortunate  part  of  the  situation1’,  he  went  on, 

"is  the  fact  that  the  United  States  has  surpluses  of  the  same 
commodities.  " 

xxxxxxxxxxx 

RADIO  MAKERS  READY  FOR  F-M  BROADCASTING 

Radio  manufacturers  are  of  the  opinion  that  the  advent 
of  frequency  modulation,  the  new  system  of  radio  transmission  and 
reception,  will  be  taken  in  stride  by  the  industry,  according  to 
the  Chicago  Sunday  Tribune .  Many  manufacturers  are  now  in  produ¬ 
ction  on  F-M  receiving  sets  and  others  are  preparing  to  start 
production. 

The  position  of  Radio  Corporation  of  America,  leading 
manufacturer  in  the  field,  is  as  yet  not  clearly  defined,  but 
officials  indicated  that  they  would  have  F-M  receivers  on  the 
market  this  Fall  if  the  public  demand  justifies  such  a  step.  On 
the  other  hand,  a  majority  of  the  independent  manufacturers  regard 
the  development  as  a.  major  advance  in  the  industry  and  are  pre¬ 
pared  to  exploit  it  fully. 

General  Electric  Company,  Stromberg- Carl  son  Telephone  and 
Manufacturing  Company,  and  others  have  started  F-M  merchandising 
campaigns  to  enable  them  to  increase  production  and  reduce  prices. 

Among  those  who  plan  to  bring  out  F-M  sets  this  Summer 
and  Fall  are  RCA,  Zenith  Radio  Corporation,  Stewart- Warner  Cor¬ 
poration,  and  Farnsworth  Television  &  Radio  Corporation.  Phi3.cc 
Corporation  has  announced  that  its  1941  models  will  be  construct¬ 
ed  so  that  they  can  be  converted  to  F-M. 

E.  F.  McDonald,  Jr.,  President  of  Zenith,  one  of  the 
leading  experimenters  with  television,  said  that  the  company  woul*' 
have  a  combination  F-M  and  standard  receiving  set  on  the  market 
November  1.  The  company  was  prepared  to  introduce  a  line  last 
Spring,  he  said,  but  withheld  it  until  standards  would  be  set. 

"Frequency  modulation  has  none  of  the  economic  hurdles 
of  television",  he  said.  "For  some  time,  F-M  will  be  a  supple¬ 
mentary  system  to  A-M  (amplitude  modulation,  the  standard  techni¬ 
que  .  ) " 

The  high  costs  encountered  for  television  programs  will 
no u  arise  for  F-M  broa.dcasting,  he  explained*  Staging,  scenery,' 
costuming,  lighting,  and  more  rehearsals  to  enable  actors  to 
memorize  their  lines  are  imoortant  factors  increasing  television 
expenses. 


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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  JULY  23,  1940 


Fly  Defends  New  FCC  Investigating  Division . 2 

Broadcasters  Disturbed  Over  "Non-Political 11  Talks . 3 

Overtime  For  Radio  Inspectors  Proposed  In  Bill . 4 

Resumption  Of  Brown  Hearing  Expected  This  Week . 4 

D.  C.  and  N.  Y.  C.  Television  Outlets  Speeded . . . 5 

NAB  To  Consider  FM  And  Television  At  Convention . 6 

WCPO  Petition  Denied . 6 

FM  Applications  Start  Pouring  Into  FCC . . . 7 

Broadcasters  Aid  In  National  Defense  Drive . 7 

Monopoly  Brief  Issue  Still  Undecided . 8 

MBS  Awaits  Nazi  Decision  After  "Blacklisting" . 8 

FM  Reception  Far  Better  Than  AM,  Says  G.  E . 10 

Police  Held  Turning  To  FM  Radio  Equipment . * . 10 

CBS  Makes  Network  Available  To  Army . 11 

McDonald  Proposes  Gliders  To  Train  Youth . 12 


No.  1252 


July  23,  1940 


FLY  DEFENDS  NEW  FCC  INVESTIGATING  DIVISION 


Coincident  with  the  appointment  of  David  Lloyd,  former 
Chief  Counsel  of  the  Senate  Civil  Liberties  Committee,  as  head  of 
a  newly  created  investigating  unit  of  the  Federal  Communications 
Commission,  Chairman  James  L.  Fly  explained  the  reasons  for  its 
establishment  at  a  press  conference  this  week. 

Chairman  Fly  said  that  it  will  consist  of  only  a  half 
dozen  investigators  at  the  beginning  but  will  be  able  to  call  upon 
the  Engineering  and  Accounting  Divisions  for  assistance  whenever 
necessary.  It  will  be  under  the  direction  of  the  Legal  Division. 

The  FCC  Chairman  said  he  had  considered  the  investigating 
unit  essential  ever  since  he  joined  the  Commission  and  had  been 
surprised  that  it  had  operated  without  one  in  the  past. 

The  FCC  must  make  sure  of  the  credentials  of  applicants 
for  radio  facilities  in  the  future,  he  said,  and  not  rely  merely 
on  affidavits  and  sworn  testimony. 

The  Communications  Act,  he  said,  clearly  gives  the  FCC 
authority  to  set  up  an  investigating  unit,  and  Congress  has  approv¬ 
ed  the  plan  by  appropriating  the  necessary  funds. 

Chairman  FLy  said  he  thinks  the  FCC  also  needs  an  expert 
on  labor  problems  as  an  aid  to  the  Commission.  The  labor  contro¬ 
versy  that  arose  over  the  recent  wire  merger  plan,  he  recalled, 
illustrated  the  need  for  such  an  advisor. 

Chairman  Fly  announced  that  he  and  Lieut.  E.  K.  Jett, 

FCC  Chief  Engineer,  will  go  to  New  York  July  31st  to  confer  with 
the  National  Television  Systems  Committee  sponsored  by  the  Radio 
Manufacturers'  Association. 

Reiterating  his  approval  of  the  efforts  of  the  radio 
industry  to  settle  the  television  controversy,  Mr.  Fly  said  he 
believed  the  industry  is  in  a  good  frame  of  mind  to  reach  an  agree¬ 
ment. 


From  New  York  the  FCC  Chairman  will  go  to  the  Pacific 
Coast  to  attend  the  convention  of  the  National  Association  of  Broad¬ 
casters  in  San  Francisco  and  to  confer  with  leaders  in  television 
development  in  that  area.  He  said  he  expected  to  inspect  the  Don 
Lee  and  De Forest  television  equipment. 

Chairman  Fly  also  said  he  welcomed  the  opportunity  to 
talk  with  the  nation's  broadcasters  at  this  time  in  an  informal 
and  face-to-face  fashion. 

XXXXXXXX 
-  2  - 


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7/23/40 


BROADCASTERS  DISTURBED  OVER  "NON-POLITICAL "  TALKS 


Somewhat  puzzled  over  President  Roosevelt’s  announcement 
that  he  will  conduct  no  political  campaign  this  year  for  reelection, 
the  broadcasting  industry  is  awaiting  the  first  "periodic  talk"  on 
the  state  of  the  nation  before  deciding  whether  to  label  it  com¬ 
mercial  or  sustaining. 

Presidential  addresses,  such  as  the  fireside  chats,  have 
been  carried  as  sustaining  features  up  to  this  time. 

The  major  networks  have  already  spent  or  lost  due  to  can¬ 
cellation  of  commercials  more  than  $500,000  by  covering  the  Republi¬ 
can  and  Democratic  conventions.  The  G.O.P.  Convention  cost  the 
National  Broadcasting  Company,  the  Columbia  Broadcasting  System 
and  the  Mutual  Broadcasting  System  $365,000.  The  bill  on  the 
Chicago  meeting  has  not  as  yet  been  tabulated. 

While  this  convention  coverage  is  considered  a  public 
service,  the  broadcasters  anticipate  getting  much  more  than  they 
have  lost  by  selling  time  for  political  addresses  between  now  and 
November. 


In  1936,  the  Republicans  spent  about  $850,000  and  the 
Democrats  $600,000  on  radio,  and  this  year  the  Republicans  are 
expected  to  spend  at  least  $800,000.  The  networks  alone  received 
nearly  $1,275,000  of  this  amount,  according  to  Broadcasting  Magazine , 
trade  organ. 

While  the  1936  campaign  presented  the  broadcasters  with 
some  difficult  problems  with  regard  to  the  add-re sses  of  the  Presi¬ 
dent,  there  were  a  number  of  speeches  at  rallies  which  were  clearly 
political  and  could  be  charged  for  according  to  the  number  of  sta¬ 
tions  in  the  hookup. 

President  Roosevelt,  in  his  address  of  acceptance,  which 
was  considered  a  sustaining  feature,  stated  that  he  would  be  unable 
to  conduct  a  regular  campaign  because  of  pressing  duties  of  state. 

"I  do  expect,  of  course,  during  the  coming  months  to  make 
my  usual  periodic  reports  to  the  country  through  the  medium  of 
press  conferences  and  radio  talks",  he  said. 

The  President's  "fireside  chats"  which,  incidentally, 
were  given  this  name  by  Harry  C.  Butcher,  Vice-President  of  CBS, 
have  been  recognized  by  all  broadcasters  as  sustaining  programs. 

The  question  that  worries  the  broadcasters  now  is  whether  the 
periodic  talks"  during  the  camoaign  can  be  labeled  sustaining  or 
commercial. 


Wendell  Willkie,  because  he  holds  no  public  office,  will 
have  to  pay  for  all  his  radio  time. 


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Four  years  ago  the  Federal  Communications  Commission 
was  confronted  with  a  delicate  problem  when  several  stations  on 
one  of  the  networks  refused  to  carry  one  of  Mr.  Roosevelt* s 
addresses,  which  the  network  had  considered  a  sustaining  program 
and  the  stations  insisted  was  a  political  talk.  The  stations  were 
upheld,  however,  in  their  refusals. 

The  self-imposed  code  of  the  National  Association  of 
Broadcasters  prohibits  its  members  from  charging  for  carrying 
controversial  talks,  in  which  both  sides  must  be  treated  equally, 
but  permits  stations  to  charge  for  political  talks. 

"This  exception  is  made”,  the  NAB  points  out,  "because 
at  certain  times  the  contending  parties  want  to  use  and  are  entitl¬ 
ed  to  use  more  time  than  broadcasters  could  possibly  afford  to  give 
away. " 


xxxxxxxxx 

OVERTIME  FOR  RADIO  INSPECTORS  PROPOSED  IN  BILL 


An  amendment  to  Section 4(f)  of  the  Communications  Act  to 
provide  for  extra  compensation  for  overtime  of  inspectors  in  charge 
and  radio  inspectors  of  the  Field  Division  of  the  Engineering  Divi¬ 
sion  of  the  Federal  Communications  Commission  has  been  introduced 
by  Chairman  Bland,  of  the  House  Committee  on  Merchant  Marine  and 
Fishe  ries. 


The  measure  authorizes  the  FCC  to  fix  a  reasonable  rate 
of  pay  for  overtime  services,  which  would  cover  services  after 
5  P.M.  and  before  8  A.M.  daily  or  on  Sundays  or  holidays. 

xxxxxxxx 


RESUMPTION  OF  BROWN  HEARING  EXPECTED  THIS  WEEK 


A  fourth  hearing  on  the  renomination  of  Commissioner 
Thad  H.  Brown  was  expected  to  be  scheduled  this  week  by  the  Senate 
Interstate  Commerce  Committee. 

Attaches  of  the  Committee  said  that  a  time  will  be  set  as 
soon  as  Senator  Tobey  ( R. ) ,  of  New  Hampshire,  makes  the  request. 

XXXXXXXXX 

-  4  - 


7/23/40 


D.C.  AND  N.Y.C.  TELEVISION  OUTLETS  SPEEDED 


New  television  stations  for  the  National  Capital  and  New 
York  City  were  speeded  by  action  of  the  Federal  Communications  Com¬ 
mission  in  confirming  previous  tentative  approval  of  applications 
by  the  Allen  B.  DuMont  Laboratories,  Inc.,  for  such  outlets.  The 
Commission  also  authorized  DuMont  and  Columbia  Broadcasting  System 
to  start  television  broadcasts  under  the  new  promotional  rules 
from  their  Passaic  and  New  York  stations  respectively. 

DuMont’s  new  Washington  station  will  operate  on  new  tele¬ 
vision  channel  No.  1  (50,000-56,000  kilocycles)  with  1  kilowatt 
power  for  aural  and  visual  transmission,  and  its  New  York  station 
will  use  television  channel  No.  4  (78,000-84,000  kilocycles)  with 
like  power. 

DuMont’s  present  television  station  W2XVT,  at  Passaic, 

N.J.  ,  is  enabled  to  increase  power  to  5  kilowatts,  aural  and  visual, 
and  transmit  on  channel  No.  4.  Columbia  Broadcasting  System  sta¬ 
tion  W2XAB,  at  New  York,  can  use  channel  No.  2  (60,000-66,000  kilo¬ 
cycles),  7-J  kilowatts  power,  aural  and  visual. 

These  new  authorizations  closely  follow  Commission  action 
last  week  in  speeding  construction  of  San  Francisco's  first  tele¬ 
vision  station,  to  be  operated  by  Don  Lee  Broadcasting  System,  and, 
at  the  same  time,  giving  the  "go"  signal  for  Don  Lee  station  W6XA0, 
at  Los  Angeles,  and  National  Broadcasting  Co.  station  W2XBS,  New 
York,  to  use  new  television  channel  No.  1  (50,000-56,000  kilocycles), 
which  the  proposed  San  Francisco  station  will  likewise  employ. 

Opening  additional  television  facilities  throughout  the 
country  is  made  possible  by  the  Commission’s  new  rules  encouraging 
experimental  operation  to  promote  the  art.  Approvals  in  all  cases 
are  contingent  upon  programs  to  foster  research  and  development. 

The  DuMont  Washington  and  New  York  stations,  for  example, 
will  inquire  into  the  advantages  of  various  types  of  film  projectors, 
experiment  with  mobile  pick-up  utilizing  wire  links  and  radio  links, 
and  will  seek  public  cooperation  on  various  types  of  program  mater¬ 
ial.  Coaxial  cable  will  be  used  in  transmitting  programs  between 
Washington  and  New  York,  and  the  Washington  station  will  test  the 
practicability  of  providing  satisfactory  service  to  Washington  and 
Baltimore  from  a  single  transmitter. 

The  program  of  research  for  DuMont's  Passaic  station 
embraces  tests  of  various  antenna  systems  utilizing  both  vertical 
and  horizontal  radiators,  experiments  with  systems  other  than  RMA 
and  DuMont,  and  investigating  the  effects  of  phase-shifts,  noise, 
field  patterns,  etc. ;  test  of  transmitter  equipment,  including 
power  tubes;  ultimate  experiments  in  the  possible  use  of  FM  (fre¬ 
quency  modulation)  for  television  broadcasting  on  the  ultra-high 
frequencies. 


-  5  - 


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7/23/40 


In  seeking  to  develop  uniform  transmission  standards  of 
acceptable  technical  quality,  CBS  station  W2XAB  proposes  to  make 
comparable  investigation  of  all  synchronizing  pulses  for  which 
generating  equipment  is  available,  make  comparative  study  of  dif¬ 
ferent  combinations  of  lines  and  frames,  investigate  the  effect  on 
allocations  of  using  different  polarizations  in  certain  adjacent 
areas,  and  work  with  the  general  public  in  determining  reaction  to 
various  changes  in  program  technique. 

XXXXXXXX 


NAB  TO  CONSIDER  FM  AND  TELEVISION  AT  CONVENTION 


Two  developments  which  are  likely  to  affect  the  status 
of  standard  broadcasting  will  be  given  serious  attention  at  the 
forthcoming  convention  of  the  National  Association  of  Broadcasters 
at  San  Francisco,  August  5-8.  They  are  frequency  modulation  and 
television. 

A  demonstration  of  FM  has  been  arranged  by  John  Shepard, III 
President  of  FU  Broadcasters,  Inc. ,  and  Paul  de  Mars,  one  of  the 
engineers  sponsoring  the  new  form  of  radio  transmission,  will  talk 
on  "Practical  FM  Broadcasting. " 

Ted  Smith,  Manager  of  Television  Transmission  Sales  for 
the  Radio  Corporation  of  America,  will  talk  on  "Apparatus  Require¬ 
ments  for  Television  Stations",  while  Harry  R.  Lubcke,  Director  of 
Television  for  the  Don  Lee  Broadcasting  System,  will  speak  on 
"Television  Station  Operation  and  Telecast  Pickups". 

X  X  X  X  X  X  X 


WCPO  PETITION  DENIED 


The  Federal  Communications  Commission  has  denied  the 
petition  of  Scripps-Howard  Radio,  Inc. ,  licensee  of  Station  WCPO 
at  Cincinnati,  for  hearing  or  rehearing  on  the  grant  to  WCOL,  Inc. , 
on  June  3,  of  a  license  authorizing  WCOL,  at  Columbus,  to  operate 
on  1200  kilocycles  with  250  watts  power,  unlimited  time,  which 
facilities  are  also  permitted  WCPO.  On  March  29,  the  Commission 
denied  a  similar  petition  of  Scripps-Howard  Radio,  Inc. ,  in  con¬ 
nection  with  the  grant  of  WC0Lfs  construction  permit  October  10 
of  last  year. 


XXXXXXXX 

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FM  APPLICATIONS  START  POURING-  INTO  FCC 


With  the  initial  problem  of  an  intricate  application 
blank  apparently  solved,  applications  for  frequency  modulation 
licenses  are  pouring  into  the  Federal  Communications  Commission. 

Chairman  James  L.  Fly  explained  that  there  was  no  dis¬ 
position  on  the  part  of  the  Commission  to  slow  up  the  applications 
but  that  the  applications  had  been  made  difficult  deliberately. 

The  FCC,  he  said,  mnted  all  the  information  possible  from  the 
applicants  because  of  the  newness  of  the  industry. 

Meanwhile  the  FCC  sent  out  a  supplemental  release  defin¬ 
ing  requirements  for  contour  maps  in  establishing  service  areas 
for  high  frequency  broadcast  stations. 

xxxxxxxxxx 


BROADCASTERS  AID  IN  NATIONAL  DEFENSE  DRIVE 


Under  the  sponsorship  of  the  National  Broadcasters* 
Association,  the  nation's  broadcasters  are  offering  their  assist¬ 
ance  in  rounding  up  100,000  skilled  civilian  workers  for  the  War 
and  Navy  Departments  and  the  Civil  Aeronautics  Authority. 

Neville  Miller,  President  of  the  NAB,  in  a  letter  to  all 
members,  pledged  the  industry  to  help  locate  these  workers  by 
broadcasting  announcements  as  to  definite  jobs  that  are  open  in 
the  section  of  the  country  from  which  the  broadcasts  will  be  made. 

"The  National  Defense  needs  of  the  United  States  require 
the  immediate  employment  of  100,000  skilled  civilian  workers  in 
the  War  and  Navy  Departments",  Mr.  Miller  wote,  "the  Civil  Aero¬ 
nautics  Authority  and  in  several  other  departments. 

"To  locate  these  men  speedily  is  an  urgent  and  patriotic 
duty  that  radio  can  perform  best.  It  is  a  duty  that  the  National 
Association  of  Broadcasters,  on  behalf  of  all  broadcasting  stations, 
has  accepted. 

"Radio  can  do  the  job  with  the  vigorous  help  of  every 
individual  broadcaster.  The  task  is  not  easy;  for  the  highways 
and  byways  must  be  combed  for  recruits.  It  is  believed  that  a 
large  number  of  qualified  men  will  be  found  working  in  other 
capacities. 

"These  men  must  be  reached  and  urged  to  return  to  their 
former  trades  else  preparedness  plans  may  bog  down . 

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"Every  week  NAB  will  confer  with  the  United  States  Civil 
Service  Commission  about  jobs  throughout  the  country.  It  is  ex¬ 
pected  that  needs  at  certain  points  will  change  frequently.  As 
they  change,  superseding  announcements  will  be  sent. 

"Therefore,  in  the  interest  of  efficiency,  in  this  hour 
of  emergency,  we  shall  operate  on  the  assumption  that  stations  will 
continue  to  broadcast  an  announcement  until  it  is  killed  or  modi¬ 
fied  to  meet  the  changing  conditions. " 

xxxxxxxxxx 


MONOPOLY  BRIEF  ISSUE  STILL  UNDECIDED 


The  Federal  Communications  Commission  has  not  yet  decided 
whether  it  will  accept  briefs  from  the  networks  in  response  to 
charges  carried  in  the  monopoly  report. 

The  matter  was  scheduled  to  have  been  discussed  at  the 
meeting  last  Friday,  but  officials  said  it  was  not  reached  because 
of  the  vast  amount  of  routine  business.  It  is  due  to  come  at  a 
meeting  on  Wednesday,  but  an  FCC  spokesman  said  there  may  not  be  a 
quorum  present. 

The  Columbia  Broadcasting  System  has  asked  permission  to 
file  a  brief,  and  the  Mutual  Broadcasting  System  has  submitted  pro¬ 
posals  to  remedy  some  of  the  evils  of  network  broadcasting  as 
alleged  in  the  monopoly  report. 

xxxxxxxx 


MBS  AWAITS  NAZI  DECISION  AFTER  "BLACKLISTING" 


The  Mutual  Broadcasting  System  was  barred  from  picking  up 
broadcasts  from  Berlin  or  Nazi  occupied  territory  this  week  at 
least  temporarily  after  bee in  "blacklisted"  because  of  the  action 
of  31  Pacific  Coast  stations  of  the  Mutual- Don  Lee  Network  last 
Friday  in  cutting  off  Hitler’s  address  to  the  Reichstag. 

Dr.  Otto  Dietrich,  personal  press  chief  of  the  German 
Chancellor,  temporarily  barred  MBS  from  further  broadcasts  out  of 
Nazi  territory. 

Dr.  Dietrich  notified  Siegrid  Schultz,  Mutual  representa¬ 
tive  in  Berlin,  that  he  wanted  a  complete  report  and  explanation  of 
the  incident  and  pending  receipt  of  the  report  and  its  approval  as 
satisfactory  he  was  suspending  all  Mutual  broadcasts  from  Germany 
and  German-controlled  areas  in  Europe,  according  to  a  cablegram 

received  by  Arthur  Whiteside,  Mutual  Production  Manager,  in  New 
York. 

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Mr.  Whiteside  cabled  back  that,  to  the  best  of  his  know¬ 
ledge,  although  he  had  no  way  of  checking,  the  Hitler  speech  was 
carried  by  the  rest  of  the  140  stations  of  the  network  and  that 
it  wa s  the  prerogative  of  each  station  or  chain  in  the  network  to 
accept  or  reject  all  or  any  part  of  any  network  program,  since  the 
individual  station  and  not  the  network  controlle*d  its  broadcast. 

Executives  of  the  system  believed  it  was  the  first  time 
that  a  major  radio  network  had  had  its  broadcasting  facilities 
suspended  by  a  totalitarian  country  as  a  counter-move  to  criticism 
of  that  country  originating  in  the  United  States,  according  to  the 
New  York  Times.  In  radio  circles  the  move  was  looked  upon  as  an 
effort  by  the  censors  in  Berlin  to  control  expressions  of  opinion 
by  United  States  citizens  over  their  own  radio  facilities  to  aud¬ 
iences  within  the  United  States. 

The  network  supplied  the  Hitler  speech  in  full  on  a  pro¬ 
gram  taking  ninety-five  minutes.  The  thirty-one  stations  cut  it 
off  after  ten  minutes,  and  Station  KHJ  in  Los  Angeles  broadcast  a 
statement  in  explanation  that  its  management  did  not  consider  the 
speech  "in  the  public  interest"  or  "in  harmony  with  the  attitude  of 
this  government. "  It  also  expressed  its  opinion  that  Herr  Hitler 
"should  not  be  permitted  to  use  our  American  facilities  to  justify 
his  crimes  against  civilization  itself. " 

On  several  instances  recently  Balkan  countries  coming 
within  the  Nazi  orbit  have  been  required  to  carry  Herr  Hitler’s 
speeches  and  other  broadcasts  in  the  interest  of  German  foreign 
policy. 


xxxxxxxx 


Work  on  WOR’ s  Frequency  Modulation  transmitter,  W2X0R, 
at  444  Madison  Avenue,  New  York  City,  is  expected  to  be  completed 
and  the  set-up  ready  for  formal  dedication  by  the  first  week  in 
August,  according  to  J.  R.  Poppele,  Chief  Engineer  for  the  station. 


The  Federal  Communications  Commission  has  granted  the 
application  of  Harold  Thomas  for  a  construction  permit  to  erect  a 
new  station  at  Bridgeport,  Conn.,  to  operate  on  the  frequency  1420 
kilocycles,  with  power  of  250  watts,  unlimited  time,  upon  condition 
that  permittee  shall  file  an  application  for  modification  of  con¬ 
struction  permit  specifying  exact  transmitter  location  within  two 
months  after  the  effective  date  of  the  order. 


Dr.  Henry  B.  Kranz,  of  Columbia's  short-wave  listening 
station,  who  daily  tunes  in  on  25  foreign  stations  which  broadcast 
in  five  different  languages,  starts  a  three-week  lecture  tour  of 
Summer  camps  July  28.  Dr.  Kranz,  author,  former  Viennese  journal¬ 
ist  and  dramatic  critic,  contributor  to  many  magazines  of  public 
opinion,  claims  he  is  the  first  lecturer  to  choose  "Inside  Radio 
War  Propaganda"  as  a  subject.  His  itinerary  includes  Pine  Brook 
Lodge,  Connecticut,  week  of  July  28;  Camp  Copake,  New  York,  week 
of  Aug.  4,  and  Camp  Tamiment,  Pa. ,  week  of  Aug.  11. 

XXXXXXXXXX 


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7/23/40 


FM  RECEPTION  FAR  BETTER  THAN  AM,  SAYS  G.E. 


The  area  of  good  broadcast  reception  area  with  frequency 
modulated  radio  is  33  times  greater  than  with  amplitude,  or  present 
type,  broadcasting,  according  to  a  report  on  tests  and  calculations 
announced  by  General  Electric  engineers. 

These  calculations  were  made  by  I.  R.  Weir,  G-E  radio 
engineer,  using  two  amplitude  and  two  frequency  modulated  trans¬ 
mitters  operating  on  the  same  wave  length  and  placed  on  level 
ground  15  miles  apart.  First  the  two  amplitude  transmitters  each 
operating  on  1  kilowatt  were  calculated  to  operate  simultaneously . 
The  area  served  without  interference  about  either  transmitter  was 
limited  to  a  radius  of  1-1/2  miles.  Next  the  two  frequency  trans¬ 
mitters  on  the  same  1  kilowatt  of  power  were  calculated.  The  area 
covered  without  interference  was  33  times  greater. 

In  the  second  condition  the  power  was  increased  to  10 
kilowatts  on  one  transmitter  and  remained  at  1  kilowatt  on  the 
other.  With  amplitude,  the  clear  reception  area  of  the  1  kilo¬ 
watt  station  was  reduced  by  interference  from  the  stronger  station 
to  one- third  its  size,  and  the  area  of  the  10-kilowatt  station  in¬ 
creased  to  about  3  times.  When  a  switch  was  made  to  frequency 
modulation,  under  the  same  conditions,  the  clear  area  for  the 
1-kilowatt  station  was  reduced  one- fourth,  whereas  with  the  10- 
kilowatt  station  the  area  was  increased  about  3  times. 

The  third  and  final  calculation  was  made  with  the  power 
of  the  transmitter  at  one  point  increased  to  100  kilowatts  with  the 
other  transmitter  remaining  at  1  kilowatt.  With  amplitude  modula¬ 
tion,  the  clear  area  of  the  1-kilowatt  station  was  reduced  to  one- 
eighth  area,  and  the  100-kilowatt  station  area  was  increase d  ap¬ 
proximately  3  times.  With  frequency  modulation,  the  area  of  the 
1-kilowatt  station  was  reduced  to  about  one-tenth  its  size  and  the 
area  of  the  100-kilowatt  station  increased  about  4-1/2  times. 

These  calculations,  according  to  Mr.  Weir,  give  added 
proof  that  frequency  modulation  permits  more  stations  to  operate  on 
the  same  channel.  The  same  frequency  can  be  assigned  to  a  large 
number  of  stations  which  do  not  have  to  be  separated  by  very  great 
distances,  and  at  the  same  time  the  stations  can  cover  a  greater 
area  with  good  reception  than  is  possible  by  amplitude  modulation. 

XXXXXXXX 

POLICE  HELD  TURNING  TO  FM  RADIO  EQUIPMENT 

Police  Departments  are  turning  to  FM  as  a  better  means  of 
coordinating  law  enforcement  work,  according  to  FM  Broadcasters, Inc. 

FM’s  freedom  from  reception  noises,  particularly  ignition 
and  electrical  devices  encountered  in  heavily-populated  districts 
and  along  highways,  makes  it  highly  adaptable  for  use  in  patrol 

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7/23/40 


cars  for  two-way  communication,  the  organization  insists.  In  addi¬ 
tion,  so-called  Mdead  spots”  and  reception  fade-outs  are  almost 
non-existent  with  FM.  Its  low  level  of  reception  noise  gives  a 
much  greater  area  of  service. 

The  State  Police  of  Connecticut  are  currently  installing 
the  first  State-wide  FM  system  in  the  country.  Under  the  guidance 
of  Professor  D.  E.  Noble  of  the  University  of  Connecticut,  who  is 
Consulting  Engineer  for  the  Connecticut  State  Police,  the  new  set¬ 
up  has  been  designed  and  is  now  being  installed.  It  will  comprise 
10  fixed  location  FM  transmitters,  250  watts  each,  at  various 
headquarters  stations,  and  a  total  of  225  two-way  mobile  units  in 
patrol  cars. 

Two  fixed  transmitters  are  already  in  operation  and  two 
more  will  be  established  by  August  1.  The  10  stations  of  the  com¬ 
pleted  system,  together  with  225  mobile  units,  will  be  operating 
by  September  1. 

The  Chicago  Police  Department  has  issued  specifications 
for  equipping  200  squad  cars  with  two-way  FM  installations  and 
establishing  16  fixed  location  stations.  The  bids  subsequently 
received  were  opened  in  May,  but  as  yet  no  award  of  the  contract 
has  been  made. 

Meanwhile  other  police  organizations  throughout  the 
nation  are  contemplating  a  switch  to  FM  as  a  greater  aid  in  their 
work  of  law  enforcement.  In  addition  to  its  other  advantages,  FM 
will  eliminate  the  frequency  inter-State  and  inter-city  interfer¬ 
ence  which  occurs  when  a  number  of  police  departments  all  operate 
their  transmitters  on  the  same  channel.  Distant  signals  cannot 
disturb  FM  reception  in  its  primary  area,  due  to  the  discriminat¬ 
ing  properties  of  FM  receivers. 

xxxxxxxxxx 

CBS  MAKES  NETWORK  AVAILABLE  TO  ARMY 


While  the  Government  builds  the  greatest  peacetime  Army 
in  United  States  history,  the  Columbia  Broadcasting  System  has  made 
its  full  network  facilities  available  in  a  new  program  series  to 
help  authorities  conducting  the  recruiting  campaign. 

The  Army  itself,  through  officers,  enlisted  men  and  the 
families  of  soldiers  will  have  an  opportunity  to  tell  the  human 
interest  story  of  the  nation* s  defenders  in  a  series  of  broadcasts 
starting  Saturday,  July  27  (WABC-CBS,  1:30  to  2:00  P.M. ,  EDST). 

There  will  be  talks  with  recruits,  mess  sergeants,  army  technicians, 
infantrymen,  artillerymen,  and  fliers. 

High- spotting  the  program  from  a  musical  viewpoint  will 
be  the  famous  United  States  Military  Academy  band,  broadcasting 
directly  from  West  Point. 

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7/2  / 40 


MC  DONALD  PROPOSES  GLIDERS  TO  TRAIN  YOUTH 


A  simple  and  inexpensive  scheme  to  train  aviators  for 
National  Defense  has  been  evolved  by  Eugene  F.  McDonald,  Jr., 
President  of  Zenith  Radio  Corporation,  who  is  a  gliding  enthusiast. 
The  plan  involves  mass  production  of  gliders  and  financial  assist¬ 
ance  from  the  Federal  Government  to  young  men  wishing  to  learn  to 
fly  them,  according  to  the  Chicago  Tribune . 

"Training  pilots  is  one  of  the  immediate  problems  of 
defense",  Commander  McDonald  said.  "It  will  do  little  good  to 
build  1,000  planes  a  week  if  we  do  not  have  pilots  to  fly  them. 

Until  now  the  use  of  gliders  for  training  purposes  has  been  ovei>- 
looked  here  despite  the  remarkable  success  Germany  had  with  them", 
he  asserted. 

Germany* s  success  is  the  chief  recommendation  for  adoption 
of  the  plan  here,  he  pointed  out.  Treaty  restrictions  forced  the 
Nazis  to  learn  to  fly  in  motorless  ships,  he  explained,  and  as  a 
result  the  world's  best  gliders  and  sailplanes  were  developed  there. 
All  records  for  distance,  altitude,  and  duration  of  flight  were 
shattered  by  the  Germans. 

The  most  important  result,  however,  is  described  in  the 
statement  of  Ernst  Udet,  German  flying  ace,  quoted  by  Mr.  McDonald: 
"Germany's  greatest  flayers  came  from  the  250,000  to  300,000 
youths  who  were  made  air  conscious  and  trained  in  gliders.  ” 

Ma j .  A!  Williams,  an  American  aviation  authority,  also 
endorses  glider  training,  Commander  McDonald  asserted.  He  said 
that  Major  Williams  had  told  him  a  glider  trained  pilot  knows  how 
to  conserve  energy  and  use  air  currents  in  a  manner  that  most  motor 
trained  pilots  never  learn. 

There  are  fewer  than  1,000  gliders  and  sailplanes  in  the 
United  States,  Mr.  McDonald  said,  and  most  of  the  better  ones  are 
imported  from  Germany.  Prices  range  upward  from  $700.  Negotiations 
for  mass  production  have  already  been  opened  with  large  manufactur¬ 
ers,  Mr.  McDonald  said,  and  he  has  begun  a  campaign  to  interest  the 
Federal  Government  in  providing  funds  for  glider  training. 

The  principal  advantages  of  gliders  as  trainers,  listed 
by  Commander  McDonald,  include  low  expense,  safety,  speed,  and 
availability.  He  said  that  he  had  learned  to  fly  a  glider  in  less 
than  an  hour.  He  estimated  that  10  hours'  instruction  would  be 
enough  to  train  a  glider  pilot  to  use  a  motor  plane. 

XXXXXXXX 


12  - 


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Of. 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C.  oA, 

_ 

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INDEX  TO  ISSUE  OF  JULY  26,  1940 


Broadcast  Time  Sales  Increased  10  Percent  In  1939 . 2 

S~W  Broadcasters  Increase  Budget  $2,000,000 . .....3 

Radio  Excise  Taxes  Up  25$  For  Fiscal  Year . 5 

Special  Emergency  Radio  Service  Clarified  By  FCC . . . 6 

New  Rules  Adopted  On  Educational  Radio  Stations . ...7 

Knowlson  Names  New  Committees  Of  RMA . ..........8 

FTC  Order  Hits  Radio  Set  Attachment . . . . . 8 

Three  Additional  Television  Stations  Authorized. . . 9 

Wisner,  Former  FCC  press  Chief,  Dies . 10 

Power  Company  Uses  Radio  To  Protect  Plants . 10 

Trade  Notes . 11 

Miniature  Networks  Used  To  Demonstrate  FM . 12 

Coughlin  Plans  To  Resume  Radio  Talks  In  October . . . 12 


No.  1253 


BROADCAST  TIME  SALES  INCREASED  10  PER  CENT  IN  1939 


Broadcast  time  sales  for  the  calendar  year  1939  amounted 
to  $129, 468, 022,  which  was  an  increase  of  10.3  percent  over  the 
$117,379,459  reported  for  1938,  according  to  figures  compiled  by 
the  Accounting,  Statistical,  and  Tariff  Department  of  the  Federal 
Communications  Commission  and  announced  this  week. 

These  figures  are  based  on  reports  by  the  three  major 
networks  -  Columbia  Broadcasting  System,  Mutual  Broadcasting  System, 
and  National  Broadcasting  Company  -  together  with  705  other  sta¬ 
tions,  including  affiliated  stations  whose  time  sales  were  being 
conducted  by  Columbia  and  National  at  the  end  of  the  year. 


The  total  broadcast  expenses  of  the  industry  for  1939  were 
$99,789,920,  compared  with  $92,503,594  for  the  previous  year,  an 
increase  of  7.9  percent.  While  the  networks  and  their  affiliated 
23  stations  had  54.1  percent  of  the  total  business  last  year,  their 
proportion  of  the  net  business  (after  deduction  of  commission  pay¬ 
ments  and  amounts  due  to  independent  stations  for  network  broad¬ 
casting)  was  38.2  percent,  and  the  proportion  of  the  682  other  sta¬ 
tions  was  61.8  percent.  Time  sales  last  year  involved  commission 
payments  amounting  to  $17,405,414  as  compared  with  $16,487,200  the 
year  previous. 

The  broadcast-service  income  (revenue  less  expenses)  of 
the  three  major  networks  was  $5,631,228,  or  23.9  percent  of  the 
total.  That  of  their  23  stations  was  $5,428,924  or  23  percent  of 
the  total,  and  that  of  the  682  other  stations  was  $12,531,792,  or 
53.1  percent  of  the  total. 


Aside  from  sales  for  the  use  of  Canadian  and  other  extra¬ 
territorial  stations  in  major  network  broadcasts,  the  sales  of 
major  network  time  were  $61,310,571,  and  accounted  for  47.4  percent 
of  the  total  time  sales  in  the  United  States  for  1939.  Other  classes 
of  time  sales  and  their  comparison  with  the  same  classes  for  1938 
are  included  in  the  following: 

1939 _ _ 1938 _ 

Ratio  to  Ratio  to 


Class  of  Time 

Major  network  time  (U.  S. ) 
National  non-network  time 
Local  time 

Regional  network  time 


total  total 

Amount  Amount % 


$  61,310,571 
30,472,053 
36,815,770 
869,628 


47.4 

$55,114,258 

47.0 

23.5 

28,109,185 

23.  9 

28.4 

33,402,801 

28.5 

0.7 

753,215 

0.6 

$129,468,022 


-  2  - 


Total 


100. 0$117, 379, 459  100.0 


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The  major  networks,  in  addition  to  their  domestic  business  shown 
above,  had  total  sales  of  $1,311,118  for  network  broadcasts  over 
Canadian  and  other  extra-territorial  stations. 

While  the  foregoing  paragraph  compares  each  major  class 
of  sales  in  1939  with  that  for  1938,  the  actual  changes  within  the 
classes  were  different,  major  network  total  time  sales  being  up 
$6,196,313,  or  11.2  percent;  national  non-network  up  $2,362,868, 
or  8.4  percent;  and  local  up  $3,412,969,  or  10.2  percent.  Receipts 
from  regional  networks  by  stations  were  about  the  same  for  both 
years. 


The  1939  figures  include  reports  from  186  stations  which 
each  had  revenue  for  the  year  in  amount  less  than  $25,000,  compared 
with  175  for  the  year  1938.  The  186  stations  had  total  revenue  of 
$2,224,807,  compared  with  $2,520,026  for  the  175  in  1938. 


The  figures  released  do  not  include  11  independent  sta¬ 
tions,  reports  of  which  require  further  correspondence.  However, 
the  aggregate  amount  of  revenue  involved  in  these  cases  is  less 
than  $200,000,  which  is  entirely  non-network  and  consists  mostly 
of  local  business.  Nor  do  the  figures  cover  38  non-commercial  sta¬ 
tions,  11  extra-territorial  stations,  or  49  stations  under  con¬ 
struction  or  otherwise  not  in  operation  at  the  close  of  the  year. 


The  operating  expenses  of  the  nine  stations  operated  by 
Columbia  and  National,  and  designated  by  them  as  key  stations, 
are  not  susceptible  of  direct  allocation  to  network  operations  on 
the  one  hand  or  to  station  operations  on  the  other.  Therefore, 
the  division  of  the  expenses  as  reported  by  the  networks  between 
network  operations  and  key  station  operations  reflect  arbitrary 
determinations  in  some  instances. 


All  figures  included  in  the  tabulations  are  compiled  from 
responses  made  for  networks  and  stations  in  compliance  with 
Section  1.361  of  the  Rules  of  Practice  and  Procedure  of  the  Commis¬ 
sion,  except  in  the  case  of  Mutual,  which  filed  a  report  as  informa¬ 
tion  to  the  Commission  in  connection  with  the  industry  survey. 

XXXXXXXX 


S-W  BROADCASTERS  INCREASE  BUDGET  $2,000,000 


Short  wave  broadcasters  in  the  United  States  have  commit- 
ed  themselves  to  an  additional  expenditure  of  $2,000,000  for  new 
and  more  powerful  transmission  equipment,  Neville  Miller,  President 
of  the  National  Association  of  Broadcasters,  this  week  advised  the 
State  Department  in  a  conference  with  Thomas  Burke,  Chief  of  the 
Division  of  International  Communications  at  the  State  Department, 
relative  to  the  problem  of  world  wide  broadcasting,  with  particular 
reference  to  South  American  coverage. 


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Representatives  of  the  short  wave  broadcasters  have  had 
conferences  with  officials  of  the  Federal  Communications  Commission 
concerning  increased  power  and  applications  are  now  pending  for 
construction  permits  which  it  is  expected  will  be  granted  in  the 
near  future. 

It  was  revealed  that  operating  costs  for  the  new  and 
more  powerful  transmitters  would  be  in  excess  of  one  million 
dollars  annually. 

While  the  new  equipment  will  insure  wider  coverage  and 
bring  about  better  reception  in  South  America,  the  popularity  of 
broadcasts  from  the  United  States  is  already  high.  Nearly  10,000 
letters  a  month  are  written  by  South  American  listeners  to  American 
short  wave  broadcasters,  it  was  declared.  News  broadcasts  are 
highest  in  popularity.  Figures  compiled  by  the  NAB  show  that 
American  short  wave  stations  are  broadcasting  13  hours  and  19 
minutes  of  news  to  Latin  and  South  America  every  day.  The  broad¬ 
casts  are  given  chiefly  in  Spanish,  Portuguese  and  English,  though 
there  are  two  fifteen-minute  periods  given  in  G-erman,  French  and 
Italian.  These  are  the  regularly  scheduled  periods  and  do  not 
include  special  events  such  as  speeches  or  statements  by  the  Presi¬ 
dent,  Secretary  of  State  and  other  officials  of  government.  When 
the  President  speaks,  for  example,  his  speech  is  broadcast  in 
English,  later  translated  into  Portuguese,  Spanish,  French,  Italian, 
Polish  and  German,  and  broadcast  in  these  languages. 

Other  programs  which  have  attracted  a  wide  following  of 
listeners  in  South  America  include  travelogues,  lessons  in  English, 
talks  on  new  scientific  discoveries  and  developments,  stamp  collect¬ 
ing  programs,  and  aviation.  The  South  American  woman  apparently 
is  as  much  interested  in  fashion  notes  and  Hollywood  gossip  as  her 
North  American  sister,  the  program  analysis  indicated.  In  addition 
to  specially  built  programs  for  the  Latin  American  audience,  the 
cream  of  network  programs  are  also  broadcast,  especially  important 
symphonies  and  vocalists,  as  a  reflection  of  North  American  culture. 
Occasionally  exchange  programs  have  been  done  in  the  past  year 
where,  for  example,  Brazil  furnished  a  series  of  programs  which 
were  heard  over  an  American  network,  and  the  network  in  turn  broad¬ 
cast  programs  which  were  heard  over  the  Brazilian  network. 

Letters  from  listeners  indicate  that  Latin  Americans 
prefer  news  broadcasts  from  the  United  States.  The  same  policies 
governing  the  broadcasts  of  news  on  standard  stations  in  the  United 
States  also  govern  the  broadcasting  of  news  by  short  wave.  On 
regularly  scheduled  periods,  a  complete  coverage  of  domestic  and 
world  wide  events  is  given.  News  is  presented  as  it  happens.  It 
is  not  slanted,  withheld  or  distorted  for  propaganda  purposes.  As 
a  result,  South  American  listeners  have  learned  to  place  dependence 
on  news  broadcast  by  United  States  short  wave  stations,  it  was 
declared. 


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The  total  amount  of  broadcasting  done  by  all  American 
short-wave  stations,  including  news  broadcasts,  for  South  American 
listeners,  is  449  hours  per  week. 

Those  attending  the  conference  with  Mr.  Burke,  in  addi¬ 
tion  to  Mr.  Miller,  were  Harry  C.  Butcher,  E.  K.  Cohan,  Miss 
Elizabeth  Ann  Tucker  of  the  Columbia  Broadcasting  System;  Robert  L. 
Gibson,  General  Electric  Company;  Frank  Mason,  Guy  C.  Hickok, 

Frank  M.  Russell  of  the  National  Broadcasting  Company;  Oswald  F. 
Schuette,  Radio  Corporation  of  America;  J.  G.  Leitch,  Radio  Station 
WCAB;  Kenneth  W.  Stoman,  Radio  Station  WCAU,  Philadelphia,  Pennsyl¬ 
vania;  J.  B.  Rock,  Walter  Evans,  Westinghouse  Electric  &  Manu¬ 
facturing  Company;  R.  J.  Rockwell,  W.  C.  Koplovitz,  Radio  Station 
WLW,  Cincinnati,  Ohio;  Walter  Lemmon,  World  Wide  Broadcasting  Cor¬ 
poration;  Ed  Kirby,  Paul  Peter,  National  Association  of  Broad¬ 
casters. 


XXXXXXXXX 

RADIO  EXCISE  TAXES  UP  25$  FOR  FISCAL  YEAR 


Total  radio  excise  tax  collections  for  the  fiscal  year 
ending  June  30  were  $6,079,914.50,  an  increase  of  25.8  percent 
over  the  radio  taxes  collected  for  the  fiscal  year  ending  June  30, 
1939,  of  $4,834,366.33,  it  was  disclosed  this  week. 

Radio  tax  collections  last  June,  largely  covering 
industry  operations  for  the  previous  month  of  May,  total  $617,177.45 
according  to  the  June  report  of  the  U.  S.  Bureau  of  Internal  Revenue 

The  June  collections  were  138.8  percent  larger  than  the 
radio  taxes  collected  in  June,  1939,  totaling  $258,438.23.  June 
tax  collections  on  mechanical  refrigerators  were  $1,284,646.70 
compared  with  $1,074,521.42  in  June,  1939. 

Radio  collections  during  the  six  months'  period  from 
January  through  June  this  year  were  39.4  percent  larger  than  in  the 
similar  six  months  of  1939.  The  radio  tax  collections  during  the 
six  months'  period  from  July  to  December,  1939,  were  14.8  percent 
larger  than  those  of  the  July- December  period  of  1938. 

XXXXXXXXXXXX 

Although  the  Federal  Communications  Commission  cannot, 
as  a  rule,  interfere  in  local  interference  problems,  so  many  resi¬ 
dents  of  Dennison,  Ohio,  complained  about  serious  interference  to 
local  radio  reception  that  the  Commission  has  asked  the  Ohio  Power 
Co.  to  cooperate  in  remedying  the  local  situation. 

X  XXXXXXXXX 

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7/26/40 


SPECIAL  EMERGENCY  RADIO  SERVICE  CLARIFIED  BY  FCC 


To  obviate  misunderstanding  regarding  the  scope  of  special 
emergency  radio  service  and  to  restrict  such  service  to  real  emer¬ 
gencies,  the  Federal  Communications  Commission  has  clarified  the 
language  of  its  applying  rule  to  prevent  employment  of  this  service 
for  routine  business  or  common  carrier  for  hire,  and  added  a  pro¬ 
vision  which  will  permit  emergency  use  of  such  facilities  in  time 
of  disaster  or  other  emergencies  by  members  of  the  public. 

Accordingly,  it  changed  Section  10.231  of  the  Rules  and 
Regulations  to  read: 

(a)  Special  emergency  stations  may  be  used  only  during  an 
emergency  jeopardizing  life,  public  safety,  or  import¬ 
ant  property. 

(1)  for  essential  communications  arising  from  the 
emergency. 

(2)  for  emergency  transmission  from  one  point  to 
another  between  which  normal  communication  facil¬ 
ities  do  not  exist,  are  not  usable,  or  are 
temporarily  disrupted  or  inadequate. 

(b)  The  use  of  special  emergency  stations  for  the  handling 
of  routine  or  non-emergency  communications  is  strictly 
prohibited. 

(c)  Within  the  scope  of  service  given  in  subparagraph  (a), 
the  licensee  of  a  special  emergency  station  shall  make 
the  communication  facilities  of  such  station  available 
to  any  member  of  the  public. 

(d)  Special  emergency  stations,  except  those  of  communica¬ 
tions  common  carriers  utilized  temporarily  to  restore 
normal  public  communication  service  disrupted  by  an 
emergency,  shall  not  operate  as  common  carriers  of  com¬ 
munications  for  hire.  However,  licensees  of  such  sta¬ 
tions  may  accept  contributions, to  capital  and  operating 
expenses  from  others  who,  under  the  Commission's  rules, 
would  be  eligible  to  stations  of  their  own,  for  the 
cooperative  use  of  the  stations  on  a  cost-sharing 
basis;  Provided,  that  contracts  for  such  cooperative 
use  are  submitted  to  the  Commission  30  days  prior  to 
the  effective  date  thereof  and  that  said  contracts  are 
not  disapproved  by  the  Commission. 

At  the  same  time  the  Commission  granted  11  applications 
by  four  associated  companies  of  the  American  Telephone  and  Telegraph 
Company  for  special  emergency  stations.  Five  of  these  are  con¬ 
struction  permits  for  the  Bell  Telephone  Company  of  Pennsylvania 
to  set  up  this  type  of  station  at  Philadelphia,  Pittsburgh,  and  a 
site  near  Aliquippe,  Pa.  ,  to  be  determined  later,  as  well  as 


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7/26/40 


12  portable-mobile  units.  Two  other  construction  permits  have  to 
do  with  the  Michigan  Bell  Telephone  Company,  for  a  station  at 
Detroit  plus  6  portable-mobile  units.  Two  other  permits  are  for 
a  Washington,  D.  C. ,  station  with  two  portable-mobile  units  for 
the  Chesapeake  &  Potomac  Telephone  Company.  The  other  two  author¬ 
izations  cover  licenses  for  two  stations  at  New  York  and  two  port¬ 
able-mobile  units  of  the  New  York  Telephone  Company. 

Special  emergency  stations,  under  one  terminology  or 
another,  have  been  licensed  by  this  Government  since  before  the 
establishment  of  the  Federal  Radio  Commission.  Several  stations 
were,  in  fact,  operated  by  the  Pennsylvania  Power  &  Light  Company 
before  1927.  As  recounted  in  our  general  information  release  of 
January  27th  last,  these  emergency  radio  stations  have  proved 
their  value  in  time  of  glood,  earthquake,  and  hurricane,  when  wire 
circuits  have  failed.  Because  frequencies  for  this  purpose  are 
scarce,  public  utilities  are  encouraged  to  make  joint  use  of  such 
facilities. 


Besides  communication  companies,  emergency  stations  are 
also  operated  by  transportation  companies,  gas  and  oil  distribution 
companies,  water  distribution  companies,  power  distribution  com¬ 
panies,  the  American  Red  Cross,  the  American  Legion,  and  remote 
establishments  which  cannot  be  reached  by  other  means  of  communica¬ 
tion. 


xxxxxxxxx 

NEW  RULES  ADOPTED  ON  EDUCATIONAL  RADIO  STATIONS 


The  Federal  Communications  Commission  this  week  repealed 
Section  4.137  of  the  rules  governing  non- commercial  educational 
broadcast  stations  and  adopted  the  following  substitute: 

"Section  4.137  Frequencle s.  (a)  The  following  frequencies 
are  allotted  for  assignment  to  non- commercial  educational 
broadcast  stations 

Kilocycles 
42,100 
42,300 
42,500 
42,700 
42, 900 

(b)  Stations  serving  the  same  area  will  not  be 
assigned  adjacent  frequencies. 

(c)  Frequency  modulation  shall  be  employed  exclus¬ 
ively  unless  it  is  shown  that  there  is  a  special  need 
for  the  use  of  amplitude  modulation. 

( d)  Only  one  frequency  will  be  assigned  to  a  station.  11 

The  effective  date  of  the  Rules  and  Regulations  Sec.  3.32(b), 
which  prohibits  broadcasting  of  commercial  programs  on  experimental 
authorizations,  was  further  extended  from  August  1  to  October  1, 
1940,  by  the  Federal  Communications  Commission. 

XXXXXXXXX  X 


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7/26/40 


KN0WLS0N  NAMES  NEW  COMMITTEES  OF  RMA 


J.  S.  Knowlson,  newly-elected  President  of  the  Radio  Manu¬ 
facturers1  Association,  this  week  announced  the  appointment  of  new 
committees. 

Among  these  was  a  new  Industry  Promotion  Committee  to 
which  H.  C.  Bonfig,  of  Camden,  N.  J.,  was  appointed  Chairman,  which 
will  handle  the  national  cooperative  campaign  of  RMA  and  the  Na¬ 
tional  Association  of  Broadcasters,  and  also  other  sales  promotion 
and  merchandising  problems.  The  committee  includes  Directors 
Abrams,  Baker,  Buckley,  Paul  V.  Galvin  of  Chicago,  Chairman  of  the 
RMA  Set  Division,  and  Director  E.  A.  Nicholas  of  Fort  Wayne,  Indiana. 
This  Committee  also  will  handle  merchandising  affairs  involved  in 
the  radio  trade  practice  rules  promulgated  by  the  Federal  Trade 
Commission  just  a  year  ago,  on  July  22,  1939,  succeeding  the  former 
Fair  Trade  Practice  Committee  of  the  Association. 

To  make  the  RMA  organization  more  effective,  another  new 
Committee,  on  Federal  Wage-Hour  Administration  matters,  with  Octave 
Blake  of  South  Plainfield,  N.  J. ,  as  Chairman,  was  appointed.  This 
Committee  will  have  charge  of  affairs  in  connection  with  the  Walsh- 
Healey  Act  and  also  under  the  Wage-Hour  Administration  of  the 
Department  of  Labor. 

The  list  of  Committees  and  Chairmen  follows: 

Standing  Committees:  Credit  Committee  -  J.  J.  Kahn, 
Chairman;  Engineering  Department  -  W.  R.  G.  Baker,  Director; 

Export  Committee  -  W.  A.  Coogan,  Chairman;  Legislative  Committee  - 
A.  H.  Gardner,  Chairman;  Membership  Committee  -  E.  Alschuler,  Chair¬ 
man,  Traffic  Committee  -  0.  J.  Davies,  Chairman. 

Special  Committees:  Industry  Promotion  Committee  -  H.  C. 
Bonfig,  Chairman;  Reorganization  Committee  -  Leslie  F.  Muter,  Chair¬ 
man;  Wage-Hour  Administration  Committee  -  Octave  Blake,  Chairman; 
Service  Section  -  J.  K.  Rose,  Chairman. 

XXXXXXXXXX 


FTC  ORDER  HITS  RADIO  SET  ATTACHMENT 


The  Perfect  Manufacturing  Company,  trading  as  R.  E. 
Engineers,  Madison  Road,  Cincinnati,  has  been  ordered  by  the  Federal 
Trade  Commission  to  discontinue  the  dissemination  of  misleading 
representations  in  the  sale  of  an  electrical  and  mechanical  device 
for  attachment  to  radio  receiving  sets. 

Under  the  order,  the  respondent  is  directed  to  cease 
representing  that  its  device,  ’’Add-A-Tube ,  ”  when  attached  to  a 
radio  receiving  set,  gives  to  it  the  effect  of  an  additional  tube; 

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7/23/40 


adds  life  to  the  tubes;  improves  reception  from  foreign  and  domestic 
stations;  brings  the  set  up  to  date,  or  gives  to  such  set  addi¬ 
tional  sharpness,  tone  and  selectivity. 

The  order  further  forbids  use  by  the  respondent  of  the 
term  "Add- A- Tube, "  or  any  similar  terra,  when  the  device  does  not 
perform  the  functions  of  an  additional  tube  in  a  radio  receiving 
set. 


XXXXXXXX 

THREE  ADDITIONAL  TELEVISION  STATIONS  AUTHORIZED 


Three  additional  television  grants  under  its  promotional 
experimental  rules  were  announced  by  the  Federal  Communications 
Commission  this  week.  They  cover  construction  permit  for  a  new 
Philadelphia  television  station,  to  be  operated  by  WCAU  Broadcasting 
Co.  on  television  channel  No.  5  (84,000-90,000  kilocycles)  with 
1  kilowatt  aural  and  visual  power;  construction  permit  to  Purdue 
University  to  operate  its  television  station  W9XG-,  at  West  Lafayette, 
Ind.  ,  on  channel  No.  3  (66,000-72,000  kilocycles)  with  750  watts 
aural  and  visual  power;  and  modification  of  license  of  the  State 
University  of  Iowa  station  W9XUI,  at  lows-  City,  to  use  channels  Nos. 

1  and  12  (50,000-56,000  and  210,000-216,000  kilocycles)  with  100 
watts  visual  only. 

WCAU  proposes  to  experiment  with  441  to  729  lines,  and  15 
to  30  frames;  to  compare  vertical  and  horizontal  polarization  as  to 
signal  noise  ratio,  effect  of  tall  buildings,  hills,  and  obstruc¬ 
tions,  interference  from  diathermy  and  ignition  systems,  and  signal 
strength;  to  investigate  pre-emphasis  in  the  transmitter  and  de¬ 
emphasis  in  the  receiver;  and  compare  FM  (frequency  modulation) 
and  AM  (amplitude  modulation)  as  the  sound  component  of  its  pro¬ 
posed  station. 

Purdue  University  contemplates  experimenting  with  trans¬ 
mission  standards,  development  of  new  types  of  pick-up  tubes  or 
iconoscopes,  research  into  the  design  and  construction  of  side-band 
filters,  development  of  the  transmission  line  or  impedence  modula¬ 
tion  system,  research  into  new  methods  of  background  control,  and 
improvements  in  wide-band  amplifiers,  plus  possible  further  experi¬ 
mentation  with  lines  and  frames,  polarization,  and  new  forms  of 
synchronizing  signals. 

The  State  University  of  Iowa  station  will  test  different 
systems  of  modulation,  conduct  experiments  concerning  frequency 
stability  and  band  width,  measure  field  intensity  to  determine 
results  of  polarization,  and  otherwise  carry  on  engineering  experi¬ 
mentation  tending  to  develop  uniform  transmission  standards  of 
acceptable  technical  design,  plus  training  of  technical  personnel. 

Neither  Purdue  nor  the  State  University  of  Iowa  will 
engage  in  public  program  service. 

XXXXXXXXX 
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WISNER,  FORMER  FCC  PRESS  CHIEF,  DIES 


G.  Franklin  Wisner,  61,  veteran  newspaperman,  who  was 
one  of  the  victims  of  the  New  Deal  "purge u  of  the  Federal  Com¬ 
munications  Commission,  died  yesterday  (Thursday)  in  Garfield 
Hospital  in  Washington,  D.  C. ,  after  a  long  illness. 

In  the  Fall  of  1938,  Mr.  Wisner  was  discharged  on  only  a 
few  hours'  notice  from  his  post  as  Chief  of  the  Press  Section  of 
the  FCC  under  a  purge  instituted  by  the  former  Chairman,  Frank  B. 
McNinch.  He  had  lived  in  retirement  since. 

Mr.  Wisner  became  Chief  of  the  Press  Section  of  the  old 
Federal  Radio  Commission  in  1927  and  served  the  Communications 
Commission  in  the  same  capacity. 

He  was  a  member  of  the  National  Press  Club,  and  from 
1914  to  1921  served  as  President  of  the  Baltimore  Press  Club.  His 
home  was  at  601  Indian  Spring  Drive,  Silver  Springs,  Maryland. 

In  1921  he  came  to  Washington  as  correspondent  for  the 
American.  The  following  year  he  became  White  House  correspondent 
for  the  New  York  Herald,  and  later  covered  the  Senate  for  the  old 
New  York  World. 

xxxxxxxxxxx 


POWER  COMPANY  USES  RADIO  TO  PROTECT  PLANTS 


Radio  is  playing  a  part  in  the  precautions  being  taken  in 
the  National  Capital  to  guard  against  sabotage  and  malicious  tamper¬ 
ing  with  the  city's  vital  plants  and  buildings. 

Latest  step  to  be  taken  in  the  program  of  vigilance  and 
prevention  was  the  launching  of  a  shortwave  broadcasting  system  to 
link  headquarters  of  the  Potomac  Electric  Power  Co.  with  its  hun¬ 
dreds  of  emergency,  trouble  shooter  and  line  trucks. 

Modeled  after  the  police  radio,  the  Pepco  control  room 
is  located  in  the  headquarters  building  at  Tenth  and  E  Streets, N.  W. , 
and  the  transmitter  is  on  the  grounds  of  the  company's  Benning 
plant. 


J.  H.  Ferry,  Vice  President,  said  the  radio  dispatching 
system  starts  out  with  27  trucks  equipped  with  receiving  sets  but 
that  approximately  300  more  will  be  similarly  furnished  before  long. 

xxxxxxxxxxxxxx 


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TRADE  NOTES  : 


The  new  50,000-watt  radio  transmitter  of  the  Westinghouse 
Broadcasting  Station  WBZ,  Boston,  located  at  Hull,  Mass. ,  will  go 
on  the  air  for  the  first  time,  Saturday,  July  27.  A  special  NBC 
network  program  originating  in  Radio  City,  New  York,  at  9:00  p.M. , 
EDST,  will  formally  open  the  new  Westinghouse  plant  to  serve  the 
Boston  market. 


Senator  Overton,  Chairman  of  the  Senate  Subcommittee  on 
District  Appropriations,  this  week  said  he  would  ask  the  Commis¬ 
sioners  to  submit  estimates  on  the  equipping  of  all  police  scout 
cars  with  two-way  radio. 


Department  store  advertisers  recently  made  a  comprehen¬ 
sive  report  on  their  experience  with  radio,  in  the  form  of  a  panel 
discussion  held  at  the  1940  annual  meeting  of  the  National  Retail 
Dry  Goods  Association,  whose  members  account  for  $4, 000, 000, 000 
sales  volume  a  year.  CBS  has  Just  reprinted  the  heart  of  that 
discussion  in  a  brochure,  because  of  the  vast  advertising  experi¬ 
ence  of  the  department  store  executives. 


For  the  second  consecutive  year,  the  World  Series  will 
be  broadcast  exclusively  over  WOR  and  the  coast-to-coast  Mutual 
network  under  the  sponsorship  of  the  Gillette  Safety  Razor  Company. 
Judge  Kenesaw  Mountain  Landis  this  week  awarded  the  broadcasting 
rights,  estimated  at  $100,000  to  the  razor  company  and  the  Mutual 
network.  An  option  also  was  taken  on  the  1941  World  Series' 
broadcasting  rights. 


Station  WCBS  in  Springfield,  Ill. ,  an  affiliate  of  the 
Illinois  State  Journal,  becomes  a  supplementary  outlet  to  the  basic 
NBC-Blue  Network,  August  1.  Station  WAKR,  recently  constructed  in 
Akron,  Ohio,  becomes  a  member  of  the  basic  Blue  Network,  October  1. 
The  addition  of  these  two  stations  brings  the  total  number  of  NBC 
affiliates  to  195,  a  gain  of  17  stations  since  the  first  of  the 
year. 


Matching  the  Federal  Government's  zeal  in  cementing  this 
country's  relations  with  its  Latin  neighbors,  Columbia's  "American 
School  of  the  Air"  is  drawing  heavily  on  nations  south  of  the  Rio 
Grande  for  broadcast  material  slated  for  programs  beginning  next 
Fall.  More  than  15,000,000  school  children  will  listen  to  these 
broadcasts  during  the  next  semester,  according  to  Sterling  Fisher, 
Director  of  Columbia's  Department  of  Education.  Among  the  govern¬ 
ments  that  have  already  officially  signified  their  intentions  of 
participating  are:  the  Philippines,  Hawaii,  Alaska,  Puerto  Rico, 
Argentina,  Brazil,  Canada,  Colombia,  Chile,  the  Dominican  Republic, 
honduras,  Mexico,  Panama  and  El  Salvador. 

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MINIATURE  NETWORKS  USED  TO  DEMONSTRATE  FM 


Two  miniature  networks,  operating  on  the  same  principle 
as  great  broadcast  stations,  are  being  used  in  demonstrations  by 
D.  Lee  Chesnut,  General  Electric  engineer  in  the  Company* s  Phila¬ 
delphia  Office,  to  dramatize  and  simplify  frequency  modulation  for 
radio  station  personnel  as  well  as  general  audiences.  Fashioned 
in  his  own  home  workshop,  Mr.  Chesnut* s  unique  equipment  set-up 
utilizes  a  Golden  Network,  consisting  of  frequency  modulated  Sta¬ 
tions  GEM  and  KXFM,  and  a  Green  Network  with  Stations  GEAM  and 
KXAM  airing  on  amplitude  modulation. 

The  center  point  of  attraction  is  a  completely  collapsible 
midget  house  with  a  cut-away  front  disclosing  two  radio  receiving 
sets  -  an  FM  set  on  one  side  and  an  AM  on  the  other.  Illuminated 
lettering  below  each  receiver  indicates  which  is  in  operation.  On 
either  side  of  the  structure  are  control  panels,  one  controlling 
all  things  relating  to  FU  broadcasting  and  the  other  AM.  An  aerial, 
made  up  of  two  collapsible  automobile  aerials,  towers  over  the  roof. 

A  few  feet  away  from  the  house  on  each  side,  "broadcast 
stations"  and  miniature  towers  have  been  set  up  on  tables;  on  one 
side  GEAM  and  GEFM,  on  the  other  KXFM  and  KXAM.  Transmitting  power 
for  each  of  the  four  stations  is  supplied  by  tiny  transmitters 
housed  in  G-E  wireless  record-players.  Atop  each  tower  are  the 
station  call  letters  painted  black  on  a  frosted  glass  which  forms 
the  front  of  a  small  illuminated  box  with  a  background  of  green  or 
golden  light,  depending  on  the  network  to  which  the  station  belongs. 

In  the  demonstrations  such  troublesome  interference- 
makers  as  the  electric  razor,  the  violet- ray  machine,  and  a  spark 
coil  operated  from  a  battery  have  been  used  to  show  how  FM  mini¬ 
mizes  interference. 


xxxxxxxx 


COUGHLIN  PLANS  TO  RESUME  RADIO  TALKS  IN  OCTOBER 


The  Rev.  Charles  E.  Coughlin  is  reported  from  Detroit  to 
he  making  plans  to  resume  his  Sunday  afternoon  radio  broadcasts 
the  second  Sunday  in  October  with  a  series  of  half-hour  programs 
devoted,  "among  other  things",  to  a  discussion  of  the  principles  and 
personalities  involved  in  the  presidential  campaign. 

His  radio  agents,  Aircrafters,  Inc. ,  have  written  to  about 
twenty-one  large  stations  throughout  the  country  in  an  effort  to 
reserve  the  necessary  time.  The  stations  have  been  offered  the 
alternative  of  granting  half-hour  periods  for  a  direct  broadcast 
from  Royal  Oak  or  a  transcription  broadcast  later  in  the  day.  Most 
of  the  stations  approached  have  carried  the  priest’s  broadcasts  in 
the  past.  Approached  also  are  a  few  larger  stations  not  previously 
included  in  the  Coughlin  chain. 


XXXXXXXXXX 

—  12  — 


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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


0 


INDEX  TO  ISSUE  OF  JULY  30,  1940 


National  Radio  Day  Proposed  In  House  Bill . . . 2 

Fly  Calls  At  WhiteHouse;  Committee  Is  Delayed . 2 

CBS  Attacks  ASCAP  As  Elliott  Roosevelt  Signs . 3 

AP  Negotiating  On  "Sponsored  News" . 4 

FCC  Will  Receive  Briefs  On  Monopoly  Report . 5 

Porter  Qaits  FCC;  To  Enter  Private  Practice . 5 

Florida  Radio  Libel  Law  Held  Unconstitutional . 6 

Niles  Trammel  Introduced  To  Capital  Press . 6 

Ship  Radiotelegraph  Rules  Are  Modified . 7 

McDonald  And  McCormick  Co-Hosts  At  Newspaper  Party . 8 

Fly  Will  Be  Away  From  Capital  For  Two  Weeks . 8 

Trade  Notes . 9 

Marine  Radio  Equipment  Approved  By  Jett . 10 

Special  FM  Station  To  Be  Set  By  For  NAB  Meeting . 10 

Poppele  Sees  50,000  FM  Sets  In  N.Y.  In  Year . 11 

Nation  To  Join  In  Hour’s  Tribute  To  Radio . 12 


No.  1254 


July  30,  1940 


NATIONAL  RADIO  DAY  PROPOSED  IN  HOUSE  BILL 


Designation  of  August  26th  of  each  year  as  National  Radio 
Day  was  proposed  last  week  in  a  joint  resolution  introduced  in  the 
House  of  Representatives  by  Representative  Dingell  (D. ),  of 
Michigan. 


The  resolution  provides: 


"That  the  President  of  the  United  States  is  authorized 
and  directed  to  issue  a  proclamation  designating  August  26  of  each 
year  as  National  Radio  Day,  calling  upon  officials  of  the  Govern¬ 
ment  to  display  the  flag  of  the  United  States  on  all  Government 
buildings  on  that  day  and  inviting  the  people  of  the  United  States 
to  observe  the  day  with  appropriate  ceremonies. " 

The  resolution  was  referred  to  the  House  Judiciary 
Committee  for  consideration. 


Representative  Dingell  said  that  the  day  was  chosen  to 
commemorate  the  advent  of  commercial  broadcasting  20  years  ago  and 
to  call  attention  to  the  special  radio  exhibitions  planned  at  the 
Mew  York  and  San  Francisco  World  Fairs  during  August  of  this  year. 


xxxxxxxxx 

FLY  CALLS  AT  WHITE  HOUSE;  COMMITTEE  IS  DELAYED 


While  the  broadcasting  industry  awaited  the  appointment 
of  the  proposed  National  Communications  Committee,  Chairman  James  L. 
Fly  called  on  President  Roosevelt  at  the  White  House  on  Saturday. 

He  had  no  comment  to  make  on  the  visit,  however. 

Chairman  Fly  was  asked  for  comment  at  his  Monday  press 
conference  on  the  story  that  broadcasters  were  disturbed  over  the 
prospect  that  President  Roosevelt  will  make  no  political  speeches 
over  the  air  this  campaign  but  will  make  periodic  radio  talks  to 
the  nation. 

He  declined  to  comment  but  did  express  the  opinion  that 
the  usual  "fireside  chat"  of  the  President  is  not  a  political  talk 

XXXXXXXX 
-  2  - 


7/30/40 


CBS  ATTACKS  ASCAP  AS  ELLIOTT  ROOSEVELT  SIGNS 


The  current  scrap  between  the  broadcasting  industry  and 
the  American  Society  of  Authors,  Composers,  and  Publishers  grew 
hotter  along  with  the  weather  last  week  as  Paul  W.  Keston,  Vice- 
President  of  CBS,  called  upon  advertisers  and  agencies  to  help 
thwart  "ASCAP1 s  $4, 400, 000  squeeze  play  against  radio",  and 
Elliott  Roosevelt  became  the  first  broadcaster  to  sign  the  new 
5-year  ASCAP  contract. 

Elliott  Roosevelt,  who  is  President  of  the  Texas  State 
Network,  pledged  nine  stations  of  his  hook-up  to  the  terms  of  the 
copyright  pool  for  the  right  to  use  its  music  on  the  air.  He 
promised  that  the  remaining  ten  outlets  of  the  network  would  sub¬ 
scribe  to  the  contract,  which  becomes  effective  January  1,  1941. 

Mr.  Roosevelt  said  he  was  accepting  the  contract,  con¬ 
trary  to  the  stand  of  the  National  Association  of  Broadcasters, 
which  charges  that  the  Composer  group  is  a  monopoly  and  that  its 
new  demands  are  exorbitant,  because  the  impending  ASCAP  agreement 
"places  the  burden  of  the  cost  of  licensing  where  it  belongs,  with 
the  networks".  Under  the  present  method,  he  explained,  the  net¬ 
works  take  the  "lion’s  share",  50  percent  of  advertising  revenue 
and  pay  nothing  for  the  use  of  the  music,  while  the  affiliated 
stations  must  pay  all  music  fees.  He  pointed  out  that  none  of 
the  Texas  Network  stations  are  NAB  members. 

Broadcast  Music,  Inc. ,  formed  by  the  radio  men  to  develop 
other  sources  of  music  to  make  them  independent  of  the  copyright 
pool,  he  said  was  "started  and  fathered"  by  the  National  and 
Columbia  broadcasting  systems  to  extend  their  monopolistic  control 
to  other  fields,  as  they  have,  in  talent,  the  phonograph,  trans¬ 
cription  and  related  industries.  He  maintained  that  if  the  net¬ 
works  are  successful  with  Broadcast  Music  in  their  fight  against 
ASCAP ,  they  would  control  the  amusement  field. 

Mr.  Keston  traced  the  fight  which  the  broadcasting  in¬ 
dustry  has  been  waging  with  ASCAP  for  the  last  six  months  and 
declared  it  "is  going  well". 

"During  the  next  six  months",  he  wrote,  "the  Columbia 
network  asks  that  its  clients,  acting  in  their  own  behalf  as  radio 
advertisers,  take  one  step  which  only  they  can  take  —  to  break  the 
strangle-hold  which  ASCAP  has  hitherto  had  upon  radio  broadcasting, 
and  to  win  not  only  this  fight  against  a  $4,400,000  increase  in 
broadcasting  costs,  but  to  free  radio  permanently  from  the  certainty 
of  future  intolerable  demands. 

"While  broadcasters  have  always  been  willing  to  pay  a  fair 
amount  on  a  reasonable  basis  for  the  privilege  of  broadcasting 
music,  we  are  convinced  that  it  is  utterly  impossible  to  find  any 
ground  for  negotiation  with  an  organization  which  has  promulgated 
these  demands  as  a  final  ultimatum. 

-  3  - 


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"Columbia  has  therefore  decided,  for  its  network  and  for 
its  owned  and  operated  stations,  that  it  will  not  and  cannot  sub¬ 
mit  to  these  demands. 


"The  gun  ASCAP  is  pointing  at  our  heads  will  be  fired 
January  1,  1941,  after  which  no  ASCAP  music  will  be  available  for 
CBS  programs.  But  by  that  time,  with  the  work  that  has  been  done 
and  which  can  be  done  by  our  advertisers  and  ourselves  between 
now  and  then,  there  should  be  nothing  but  a  blank  cartridge  in  the 
breech.  " 


After  describing  the  accomplishments  of  the  industry  in 
the  organization  of  Broadcast  Music,  Inc. ,  Mr.  Keston  said: 


"Reduced  to  its  plainest  terms,  only  one  thing  is  needed 
between  now  and  January  1st  to  free  radio  broadcasting  from  ASCAP* s 
$4, 400, 000  squeeze-play.  This  thing  is  the  determination  of  radio 
advertisers  that  they  will  popularize  only  the  music  which  will 
continue  to  be  available  to  them  after  December  31,  1940.  And 
that  can  be  accomplished  very  simply  —  Just  by  playing  this  music 
on  the  air  on  commercial  programs.  If  the  transition  to  non-ASCAP 
music  is  begun  at  once,  virtually  every  hit  tune  in  America  should 
lie  outside  of  ASCAP* s  clutch  before  January  1. 

XXXXXXXX 


AP  NEGOTIATING  ON  "SPONSORED  NEWS" 


The  Associated  Press  and  a  number  of  radio  stations  cur¬ 
rently  are  negotiating  for  the  commercial  news  service  now  offered 

Iby  the  AP  with  talks  reported  "progressing  satisfactorily",  accord¬ 
ing  to  Editor  &  Publisher.  0.  S.  Gramling,  AP  Executive  Assistant 
in  Charge  of  Membership,  with  W.  J.  McCambridge,  AP  Assistant 
General  Manager,  are  conducting  the  talks.  However,  no  contracts 
have  been  signed  since  that  with  WNEW,  New  York,  last  month. 

Major  consideration  of  the  AP  executive  charged  with 
reaching  satisfactory  agreement  with  radio  stations  is  directed 
toward  the  formulation  of  a  method  whereby  AP  news  may  be  made 
available  to  the  nationwide  networks  under  commercial  sponsorship. 


No  such  method  can  be  announced  at  this  time,  but  an 
announcement  may  be  made  sometime  in  the  Fall,  it  was  said. 

The  nationwide  plan,  the  AP  said,  is  still  "in  the  cor¬ 
respondence  stage  with  no  definite  plan  set  for  the  AP  for  pushing 
and  working  on  it. " 

xxxxxxxxxx 


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FCC  WILL  RECEIVE  BRIEFS  ON  MONOPOLY  REPORT 


The  Federal  Communications  Commission  has  announced  that 
in  connection  with  its  investigation  of  chain  broadcasting  it 
would  receive  briefs  filed  by  interested  parties  on  or  before 
September  15,  1940. 

A  committee  of  the  Commission  composed  of  Commissioners 
Brown,  Walker  and  Thompson,  submitted  their  report  to  the  Commis¬ 
sion  on  June  12,  1940,  and  recommended  the  promulgation  of  regu¬ 
lations  to  eliminate  certain  practices  in  chain  broadcasting. 
Copies  of  the  Committee’s  report,  with  its  Memorandum  of  Submittal 
containing  the  recommendations  of  the  Committee,  are  being  sent  to 
the  licensees  of  all  broadcast  stations.  The  Commission  invites 
the  submission  of  their  views  on  the  issues  raised  by  the  report. 
Copies  will  also  be  supplied  upon  request  to  any  other  interested 
party  desiring  to  consider  submission  of  a  brief  or  statement. 

It  was  also  announced  that  the  Mutual  Broadcasting 
System,  Inc. ,  has  recently  filed  a  motion  with  the  Commission 
requesting  the  adoption  of  temporary  regulation  directed  toward 
maintaining  the  status  quo  in  chain  broadcasting  pending  the 
promulgation  of  permanent  regulations  by  the  Commission. 


Briefs  should  be  directed  solely  to  the  accuracy  of 
factual  statements  contained  in  the  report  of  the  Committee,  to 
the  recommendations  contained  in  the  Committee’s  Memorandum  of 
Submittal,  and  to  the  advisability  of  the  adoption  of  the  temporary 
regulation  requested  by  the  Mutual  Broadcasting  System,  Inc. ,  the 
FCC  stated. 


xxxxxxxxx 

PORTER  QUITS  FCC;  TO  ENTER  PRIVATE  PRACTICE 


George  B.  Porter,  Assistant  General  Counsel  of  the  Federal 
Communications  Commission,  has  resigned  to  practice  law.  He  has 
been  in  charge  of  radio  broadcast  litigation  for  the  FCC  since  it 
was  established. 

Mr.  Porter  recently  completed  a  series  of  investigations 
of  Texas  radio  station  cases,  in  which  it  was  alleged  that  the 
licensees  were  not  the  real  owners  of  the  stations.  These  cases 
are  still  pending. 

He  was  the  principal  investigator  in  the  case  of  Station 
WSAL  at  Salisbury,  Md.  ,  which  was  put  off  the  air  because  of  alleg¬ 
ed  misrepresentations  as  to  its  ownership.  Some  angles  of  this 
oase  still  are  pending  before  the  Commission. 


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7/30/40 


Mr.  Porter,  a  son  of  Interstate  Commerce  Commissioner 
Claude  B.  Porter,  was  appointed  an  attorney  in  the  Legal  Division 
of  the  Federal  Radio  Commission,  predecessor  of  the  present  body, 
in  1931.  Later  that  year  he  was  made  Assistant  General  Counsel 
and  in  1933  he  became  Acting  General  Counsel,  serving  in  this 
capacity  until  July  1,  1934,  shen  the  FCC  came  into  being.  Mr. 
Porter  then  was  succeeded  by  Paul  0.  P.  Spearman  as  General  Counsel. 
On  October  5,  1934,  he  was  made  Assistant  General  Counsel  in  charge 
of  broadcast  litigation. 


xxxxxxxxxx 

FLORIDA  RADIO  LIBEL  LAW  HELD  UNCONSTITUTIONAL 


Florida’s  radio  libel  law,  through  which  station  opera¬ 
tors,  in  an  enactment  by  the  State  Legislature  in  1939,  sought  to 
protect  themselves  against  damage  suits,  has  been  declared  un¬ 
constitutional  by  Judge  Bayard  B.  Shields  of  the  Duval  County 
Circuit  Court,  Jacksonville. 

The  law  provides:  "The  owner,  lessee,  licensee  or 
operator  of  a  radio  broadcasting  station  and  the  agents  or  employees 
of  any  such  owner,  lessee,  licensee  or  operator,  shall  not  be  liable 
for  any  damages  for  any  defamatory  or  libelous  statements  published 
or  uttered  in  or  as  a  part  of  a  radio  broadcast  by  one  other  than 
such  owner,  lessee,  licensee,  or  operator  or  agent  or  employee 
thereof,  unless  the  said  owner,  lessee,  licensee,  and  operator  or 
agent  or  employee  affirmatively  declares  that  such  statements  are 
made  for  and  in  behalf  of  such  owner,  lessee,  licensee  or  operator 
of  such  radio  station  or  its  agent  or  employee. " 

Judge  Shields  said  that  "the  act  clearly  violates  the 
spirit  and  the  letter  of  Sections  1,  4,  12  and  13  of  the  Declara¬ 
tion  of  Rights  of  the  Constitution  of  Florida. " 

XXXXXXXXX 


NILES  TRAMMEL  INTRODUCED  TO  CAPITAL  PRESS 


Washington  newspaper  men  and  radio  figures  met  Niles 
Trammel,  newly-elected  President  of  the  National  Broadcasting 
Company,  last  Friday  afternoon  at  a  cocktail  party  held  at  the 
Willard  Hotel. 


XXXXXXXXX 
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SHIP  RADIOTELEGRAPH  RULES  ARE  MODIFIED 


The  Federal  Communications  Commission  has  modified  cer¬ 
tain  of  its  Rules  Governing  Ship,  Coastal  and  Marine  Relay  Services 
in  order  that  ship  radiotelegraph  stations  licensed  to  operate  with¬ 
in  the  high  frequency  bands  (between  4,000  and  23,000  kilocycles) 
may  make  more  effective  use  of  their  transmitting  equipment  by 
incorporating  crystal  control  at  reasonable  cost.  The  changes 
effect  Sections  7.58,  8.81(a),  8.96,  and  Part  1  of  Appendix  B  of 
the  General  Rules. 

Outstanding  licenses  of  approximately  536  non-Gove mment 
ship  radio  telegraph  stations  of  the  United  States  uniformly  author¬ 
ize  transmission  on  48  standardized  frequencies  distributed  through¬ 
out  the  high  frequency  spectrum  within  the  following  bands  recogniz¬ 
ed  for  this  service  by  the  General  Radio  Regulations  of  Cairo, 1938, 
annexed  to  the  International  Telecommunication  Convention,  Madrid, 
1932: 


4,115  to  4,165  kc. ;  5,500  to  5,550  kc. ;  6,200  to  6,250  kc; 
8,230  to  8,330  kc. ;  11,000  to  11,100  kc. ;  12,340  to  12,500  kc.; 
16,460  to  16,660  kc.  and  22,000  to  22,200  kc. 

By  reason  of  the  Commission's  action  it  will  be  possible, 
through  the  requirement  of  more  stringent  frequency  tolerances  on 
certain  frequencies,  to  increase  the  number  of  these  licensed 
frequencies  from  48  to  62.  In  addition,  the  harmonic  relationship 
of  the  frequencies  in  each  ship  station  band  to  those  in  the  other 
bands  will  be  substantially  improved.  The  "harmonic  relationship" 
between  the  frequencies  is  the  factor  which  provides  for  use  by  a 
ship  station  of  a  large  number  of  transmitting  frequencies  with  a 
minimum  number  of  Piezo— electric  crystals  employed  for  accurately 
controlling  the  frequencies  which  reduces  equipment  costs.  The 
use  of  crystal- controlled  equipment  of  this  type  tends  to  promote 
flexibility  in  the  use  of  frequencies,  as  well  as  adherence  to  the 
assigned  frequencies.  As  the  number  of  high  frequency  bands  avail¬ 
able  to  a  ship  station  increases,  the  ability  of  the  vessel  to  carry 
on  communication  over  various  distances  up  to  several  thousand  miles 
and  at  any  desired  time  of  day  or  night  also  increases. 

The  Commission's  action  in  modifying  these  rules  was 
effected  through  the  cooperation  of  other  interested  Government 
departments,  and  in  some  respects  is  said  to  be  advantageous  to 
the  radio  communication  services  carried  on  by  these  departments. 

XXXXXXXXXX 
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7/30/40 


McDonald  and  McCormick  co-hosts  at  newspaper  party 


Correspondents  returning  to  Washington  are  still  talking 
about  the  memorable  party  given  to  the  newspaper  men  at  the 
Democratic  National  Convention  by  Commander  E.  F.  McDonald,  Jr.  , 
and  Col.  Robert  R.  McCormick,  editor  and  publisher  of  the  Chicago 
Tribune.  It  took  place  aboard  Commander  McDonald’s  famous  yacht 

!the  "Mizpah" ,  one  of  the  largest  and  most  beautiful  yachts  on  the 
Great  Lakes.  The  affair  was  a  highlight  of  enjoyment  in  what  the 
newspaper  men  otherwise  said  was  one  of  the  dullest  and  most  somber 
political  conventions  in  years. 


The  guest  list  read  almost  like  that  of  a  Gridiron  Dinner. 
It  included  Roy  W.  Howard,  Chairman  of  Board,  Scripps-Howard  News- 

I  papers,  New  York  City;  Henry  L.  Mencken,  Baltimore  Sun,  Baltimore, 

Md. ;  Eugene  Meyer,  publisher,  Washington  Post,  Washington,  D.  C. ; 

Amon  G.  Carter,  publisher,  Fort  Worth  Star- Telegram,  Fort  Worth, 

Texas;  Melville  Ferguson,  editor-in-chief,  Philadelphia  Evening 
Bulletin,  Philadelphia,  Pa. ;  Clark  Howell,  publisher,  Atlanta 
Constitution,  Atlanta,  Ga. ;  Frank  Kent,  Baltimore  Sun,  Baltimore, 

Md.  ;  James  G.  Stahlman,  publisher,  Nashville  Banner,  Nashville , Tenn.  ; 
Paul  Block,  Jr.,  New  York  City;  Roy  C.  Flannagan,  Richmond  News- 
Leader,  Richmond,  Va.  ;  Richard  Forster,  Columbus  correspondent, 
Cincinnati  Times- Star,  Columbus,  Ohio;  Harry  J.  Grant,  Chairman  of 
the  Board,  Milwaukee  Journal,  Milwaukee,  Wis.  ;  Robert  C.  Harris, 

News  Editor,  Cincinnati  Times-Star,  Cincinnati,  0. ;  Walter  M. 

Harrison,  Managing  Editor,  Oklahoma  City  Oklahoman  &  Times, 

Oklahoma  City,  Okla. ;  J.  R.  Knowland,  publisher,  Oakland  Tribune , 
Oakland,  Calif.;  W.  J.  Conners,  Jr.,  publisher,  Buffalo  Courier- 
Express  ,  Buffalo,  N.  Y.  ;  Kyle  D.  Palmer,  political  editor,  Los 
Angeles  Times.  Los  Angeles,  Calif. ;  Elzey  Roberts,  publisher, 

St.  Louis  Star-Times,  St.  Louis,  Mo. ;  James  L.  Wright,  correspondent, 
Buffalo  Evening  News.  Washington,  D.  C. ;  and  Earle  Behrens,  San 
Francisco  Chronicle.  San  Francisco,  Calif. 

xxxxxxxxx 

FLY  WILL  BE  AWAY  FROM  CAPITAL  FOR  TWO  WEEKS 

James  L.  Fly,  Chairman  of  the  Federal  Communications  Com¬ 
mission,  left  Washington  late  Tuesday  for  New  York  City  in  company 
with  Lieut.  E.  K.  Jett,  FCC  Chief  Engineer,  to  attend  the  conference 
on  television  Wednesday. 

Following  the  New  York  conference  with  the  National 
Television  Systems  Committee,  he  will  go  to  San  Francisco  to  address 
the  National  Association  of  Broadcasters  and  to  participate  in  the 
coast-to-coast  broadcast  linking  the  two  World  Fairs. 

Chairman  Fly  also  will  inspect  television  developments  on 
the  Pacific  Coast  before  returning  to  Washington.  He  is  expected 
to  be  away  from  the  Capital  for  at  least  two  weeks. 

XXXXXXXX 


7/30/40 


TRADE  NOTES 


Crosley  Corporation  and  subsidiaries  reports  for 
months  to  June  30:  Net  profit,  $96,661,  equal  to  18  cents 
on  545,800  capital  shares,  against  $402,057,  or  73  cents  a 
last  year. 


six 

each 

share 


"The  Death  of  Lord  Haw  Haw",  the  Nazi  radio  commentator 
who  is  reputed  to  be  an  Oxfordian  Britisher,  is  the  title  of  a 
new  detective  story  by  Brett  Rutledge.  The  advertisement  asks: 
"Was  Lord  Haw  Haw  murdered  in  New  York?" 


The  amount  of  newspaper  advertising  used  to  promote 
Pillsbury's  flour  and  cereals  will  be  increased  more  than  100 
percent  in  the  current  fiscal  year,  Howard  W.  Files,  Vice  President 
in  Charge  of  Advertising  and  Sales  for  the  Pillsbury  Flour  Mills 
Company,  announced  this  week.  Pillsbury  spends  about  $1,000,000 
a  year  in  advertising,  more  than  half  of  which  goes  to  radio. 


On  its  own  motion,  the  Federal  Communications  Commission, 
by  a  Board  consisting  of  Commissioners  Fly,  Chairman,  Walker  and 
Thompson,  last  week  reconsidered  its  action  of  July  16  in  granting 
the  application  of  the  Riverside  Broadcasting  Co.  to  construct  a 
new  station  at  Riverside,  Calif.,  to  operate  on  1420  kilocycles, 

250  watts  power,  unlimited  time,  and  set  the  application  down  for 
simultaneous  hearing  with  three  conflicting  applications.  The 
other  applications  are  Broadcasting  Corporation  of  America  and 
Mollin  Investment  Co. ,  to  construct  new  stations  at  Riverside  to 
operate  on  1390  kilocycles,  1  kilowatt  power,  unlimited  time,  and 
1390  kilocycles,  500  watts  power,  daytime  only,  respectively;  and 
Merced  Broadcasting  Co.,  to  change  frequency  and  increase  power  of 
its  existing  station  at  Merced,  Calif. ,  to  1390  kilocycles,  1 
kilowatt  power  day,  500  watts  power  night,  unlimited  time.  These 
three  applications  were  designated  for  hearing  at  the  July  16  meeting 


Steve  Early,  secretary  to  President  Roosevelt,  shot  a 
one  over  par  73  at  the  exclusive  Burning  Tree  Country  Club  golf 
course,  using  only  one  of  his  irons,  last  week. 

Among  other  members  of  Mr.  Earlyfs  foursome  was  Harry  C. 
Butcher,  Vice  President  of  the  Columbia  Broadcasting  System  in 
Washington,  whose  score  was  not  reported  but  whose  golf  is  said  to 
be  usually  very  good. 

XXXXXXXXXXXX 
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7/30/40 


MARINE  RADIO  EQUIPMENT  APPROVED  BY  JETT 


Lieut.  E.  K.  Jett,  Chief  Engineer  of  the  Federal  Communi¬ 
cations  Commission,  has  approved  the  following  types  of  marine 
radiotelegraph  transmitters  as  capable  of  meeting  the  requirements 
of  the  applicable  sections  of  the  Rules  Governing  Ship  Service: 

Main  radiotelegraph  transmitters  approved  as  capable  of 
meeting  the  requirements  of  Section  8.142  of  the  Rules 
Governing  Ship  Service  of  October  1,  1939,  as  amended: 

Manufacturer  Type  No . 

Federal  Telegraph  Company  155-B 

Radiomarine  Corp.  of  America  ET-8010-C  and  D 

Main  and  emergency  radiotelegraph  transmitters  approved 
as  capable  of  meeting  the  requirements  of  Section  8.142 
and  8.144  of  the  Rules  Governing  Ship  Service  of  October 
1,  1939,  as  amended: 

Manu facturer  Type  No. 

Federal  Telegraph  Company  15  5- 1#.  01- A 

Radiomarine  Corp.  of  America  ET-8010-CA  and- DA 

Lieutenant  Jett  has  also  approved  a  list  of  designated 
spare  parts  to  be  associated  with  each  of  the  approved  marine 
radiotelegraph  transmitters  listed  hereinabove  in  accordance  with 
the  provisions  of  Section  8.234  of  the  Rules  Governing  Ship  Service. 
Lists  of  spare  parts  required  for  specific  types  of  equipment 
approved  by  the  Commission  are  furnished  to  its  inspectors  in  charge 
at  principal  ports  and  are  available  to  others  upon  request. 

XXXXXXXX 

SPECIAL  FM  STATION  TO  BE  SET  BY  FOR  NAB  MEETING 

A  complete  FM  station  operating  on  a  16-hour  daily  sched¬ 
ule  will  be  set  up  in  San  Francisco  next  month  when  members  of  the 
broadcasting  industry  come  from  all  parts  of  the  country  for  the 
17th  annual  convention  of  the  National  Association  of  Broadcasters. 
It  will  be  the  first  occasion  that  an  FM  station  has  been  on  the 
air  on  the  West  Coast,  offering  FM-quality  programs. 

The  special  demonstration  FM  transmitter,  shipped  from 
New  York  to  San  Francisco  for  the  occasion,  will  employ  a  power  of 
1000  watts  with  the  call  letters  W  10  XLV.  High-fidelity  programs 
are  to  include  special  transcriptions  as  well  as  originations  by 
Station  KSFO  in  San  Francisco.  W  10  XLV  will  be  in  operation  from 
August  3  to  7  on  a  channel  of  43.4  megacycles  under  a  temporary 
license  issued  by  the  Federal  Communications  Commission. 


XXXXXXXXXX 
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POPPELE  SEES  50,000  M  SETS  IN  N.Y.  IN  YEAR 


Preparing  for  the  inauguration  of  the  WOR  frequency 
modulation  transmitter  Thursday  night,  John  R.  Poppele,  Chief 
Engineer,  discussed  the  future  of  FM  in  an  interview  published  on 
the  radio  page  of  the  New  York  Times  last  Sunday. 

While  he  has  great  expectations  for  FM,  he  does  not  bandy 
about  phrases  such  as  "will  revolutionize  the  industry",  the  Time s 
said.  He  predicts  there  will  be  50,000  FM  receivers  in  the  metro¬ 
politan  area  within  a  year. 

"Up  to  the  present",  said  Mr.  Poppele,  "FM* s  development 
has  been  confined  chiefly  to  the  laboratories,  and  a  handful  of 
listeners  always  interested  in  scientific  progress.  That  FM  will 
grow  there  is  no  doubt,  but  its  growth  must  be  rational  and  con¬ 
trolled,  and  at  all  times  in  keeping  with  the  needs  and  requirement 
of  nation-wide  communication  systems.  FM  comes  into  the  field  with 
a  sound  and  substantial  foundation  in  research,  experimentation  and 
careful  programming,  without  the  booms  and  speculations  which  so 
often  bring  disaster  to  new  industries. " 

One  of  the  most  important  problems  immediately  confront¬ 
ing  FM,  according  to  Mr.  Poppele,  is  programming.  For  the  most 
part  existing  FM  stations  have  been  rebroadcasting  the  programs 
of  regular  broadcast  band  stations,  or  using  recordings.  The  new 
FCC  regulations,  however,  stipulate  that  all  FM  stations  must 
originate  two  hours  of  high  fidelity  programs  daily  -  one  hour  dur¬ 
ing  the  day  and  one  hour  during  the  evening.  Since  it  may  be  some 
while  before  any  sizable  commercial  income  is  developed,  it  is  not 
likely  that  FM  stations  will  be  able  to  expend  large  sums  on  pro¬ 
gram  talent,  according  to  Mr.  Poppele. 

There  are  some  programs  originating  in  New  York  which  WOR 
cannot  carry  because  of  other  local  commitments.  In  addition, 
many  of  WOR1 s  important  musical  programs  will  be  broadcast  by 
W2X0R  simultaneously  with  broadcast  on  WOR' s  regular  710  kilocycle 
channel. 


Optimistic  as  he  is  about  the  new  system,  Mr.  Poppele  doe 
not  foresee  any  general  and  immediate  public  rush  to  buy  FM  sets. 
Instead,  he  visualizes  a  gradual  development,  much  like  that  of  the 
radio  industry  in  recent  years. 

"Unquestionably  we  shall  find  FM  adapters  being  used  in 
years  to  come  on  the  present  radio  receivers  which  have  not  yet 
reached  a  stage  of  obsolescence  in  the  average  home",  he  continued. 
"Finally,  when  FM  has  been  firmly  established,  the  mass  of  listen¬ 
ers  will  take  advantage  of  the  combination  sets  then  offered  by 
manufacturers.  FM  still  has  a  great  deal  of  experimentation  ahead 
ol  it,  particularly  in  production  techniques.  While  engineers  have 
been  studying  and  working  with  FM  for  years,  program  builders,  pro¬ 
ducers,  directors,  conductors,  musicians,  actors  and  sound  effects 
men  have  still  to  become  acquainted  with  it.  They  will  ha.ve  to 
explore  the  medium  and  learn  its  assets  and  liabilities.  " 

XXXXXXXX 


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7/30/40 


NATION  TO  JOIN  IN  HOUR’S  TRIBUTE  TO  RADIO 


Representatives  of  government,  religion,  education,  labor, 
civil  liberties  groups,  women's  organizations  and  the  press,  as 
well  as  world-famous  entertainers,  will  join  the  World's  Fair  of 
1940  in  New  York  and  the  Golden  Gate  International  Exposition  at 
San  Francisco  in  a  gigantic  tribute  to  radio  broadcasting  on 
Saturday,  August  3rd.  The  climax  is  to  be  a  nationwide  broadcast, 
titled  "This  Is  Radio",  over  more  than  500  stations  from  9:00  to 
10:00  P.M.  ,  EST. 

Networks  of  the  National  Broadcasting  Company,  Mutual 
Broadcasting  System  and  Columbia  Broadcasting  System  will  be  com¬ 
bined  and  scores  of  independent  stations  linked  to  the  networks 
for  the  occasion.  Major  portion  of  the  broadcast  will  come  from 
the  Court  of  Peace  at  the  New  York  World's  Fair  but  important 
contributions  will  be  made  from  the  San  Francisco  Fair  and  studios 
in  Hollywood,  Chicago  and  other  cities.  Dr.  John  S.  Young,  Director 
of  Radio  and.  Television  for  the  New  York  World's  Fair,  and  R.  C. 
Coleson,  Radio  Director  of  the  San  Francisco  Exposition,  are  to  be 
masters  of  ceremonies. 

The  broadcast  will  open  at  the  New  York  Fhir  with  an  ode 
to  radio,  written  by  John  La  Touche,  author  of  the  stirring  "Ballad 
for  Americans.  "  From  New  York,  the  show  will  include  the  NBC 
Symphony  orchestra,  Paul  Whiteman,  Frank  Black,  Howard  Barlow, 

Morton  Gould,  Frank  Munn,  Virginia  Rea,  Parker  Fennelly,  Arthur 
Allen,  Clifton  Fadiraan,  Ted  Husing,  Graham  McNamee,  John  S.  Young, 
Conrad  Thibault,  Dorothy  Gordon,  Major  Edward  Bowes,  Raymond  Gram 
Swing,  Tommy  Riggs,  James  Melton  and  Richard  Crooks. 

San  Francisco  and  Hollywood  will  contribute  the  San  Fran¬ 
cisco  Symphony,  Amos  'n'  Andy,  Joe  Penner,  Orson  Welles,  Frances 
Langford,  Fannie  Brice,  Morton  Downey  and  many  others. 

Following  the  radio  ode,  a  special  dramatic  presenta¬ 
tion  by  Norman  Corwin  will  be  broadcast  from  California.  This,  in 
turn,  will  be  followed  by  a  symposium  of  distinguished  speakers  on 
"Freedom  of  F&dio".  Among  those  taking  part  will  be  Rabbi  Jonah  B. 
Wise,  Walter  W.  Van  Kirk,  Executive  Secretary  of  the  Federal 
Council  of  Churches;  Roger  Baldwin  of  the  American  Civil  Liberties 
Union;  James  L.  Fly,  Chairman  of  the  Federal  Communications  Com¬ 
mission;  Mrs.  Harold  V.  Milligan,  President  of  the  National  Council 
of  Women,  and  John  W.  Studebaker,  United  States  Commissioner  of 
Education.  Speakers  yet  to  be  named  will  represent  Labor,  the 
Press  and  the  Catholic  faith. 

Harvey  D.  Gibson,  Chairman  of  the  Board  of  Directors  of 
the  World's  Fair  of  1940  in  New  York,  and  Marshall  Dill,  President 
of  the  Golden  Gate  International  Exposition,  will  pay  a  brief  tri¬ 
bute  to  broadcasting.  Following  their  talks,  plaques  expressing  the 
ideal  of  Freedom  of  Radio  will  be  unveiled  simultaneously  at  both 
Fairs. 

A  new  tone  poem  written  especially  for  the  occasion  by 
Carl  Haverlin  and  Paul  Nordoff  will  be  read  at  the  conclusion  of  the 
broadcast.  Conrad  Thibault,  baritone,  will  be  assisted  by  the  NBC 
Symphony  and  a  chorus.  The  grand  finale  of  the  program  is  to  be 
the  singing  of  "The  Star  Spangled  Banner"  by  artists  and  spectators 
at  the  ceremonies  on  both  sides  of  the  continent. 

XXXXXXXXXX 


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2400  CALIFORNIA  STREET 


WASHINp:ON,  D.  C. 


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INDEX  TO  ISSUE  OF  AUGUST  2,  1940. 


FCC  Optimistic  After  Television  Conference . 2 

Two  Plead  Guilty  To  Unlicensed  Radio  Operation . 4 

Sarnoff  To  Be  Questioned  By  Senate  Committee . 5 

ASCAP  Addresses  NAB  Convention  Despite  Refusal . 7 

Senate  Committee  Alert  To  Radio  "Subterfuges” . 7 

Mullen  To  Be  General  Manager  Of  NBC . 

Radio  Station  Income  Shows  Increase  For  1939. . 

Little  Profit  Seen  In  Political  Radio  Business . 9 

Philips  Nosing  Out  U.  S.  Firms  In  Argentina . 10 

U-235  Gives  Debut  At  WBZ  Ceremony . 10 

Trade  Notes . 11 


No.  1255 


CO  oo 


FCC  OPTIMISTIC  AFTER  TELEVISION  CONFERENCE 


Officials  of  the  Federal  Communications  Commission  were 
optimistic  over  the  prospect  of  an  early  agreement  in  the  radio 
industry  on  television  standards  following  an  organization  meeting 
of  the  National  Television  Systems  Committee  in  New  York  City. 

The  meeting,  which  was  attended  by  Chairman  James  L.  Fly, 
and  Chief  Engineer  E.  K.  Jett,  was  said  to  be  entirely  harmonious 
despite  previous  discord  within  the  industry. 

Lieutenant  Jett  made  the  prediction  that  an  accord  which 
will  pave  the  way  for  the  commercialization  of  television  may  be 
reached  by  late  Fall  or  early  Winter.  Chairman  Fly  did  not  return 
to  Washington  but  went  directly  to  the  convention  of  the  National 
Association  of  Broadcasters  in  San  Francisco. 

No  further  meetings  of  the  general  committee  have  been 
scheduled  pending  a  study  of  various  angles  of  the  problem  by 
sub-committees.  FCC  officials  plan  no  further  conferences  with 
the  Committee  until  It  is  ready  to  report. 

The  Committee,  organized  under  the  auspices  of  the  Radio 
Manufacturers’  Association,  was  addressed  at  the  Hotel  Roosevelt 
by  J.  S.  Knowlson,  President  of  the  Association,  who  pointed  out 
that  the  FCC  was  prepared  to  adopt  television  standards  as  soon  as 
the  industry  could  show  that  it  was  in  accord  on  a  set  of  standards. 

Chairman  Fly  said  he  saw  in  the  undertaking  a  chance  for 
industry  and  government  to  cooperate  and  pledged  the  aid  of  the 

Commission.  He  made  it  clear,  however,  that  the  FCC  has  no  inten¬ 

tion  of  interfering. 

”The  Commission  wants  to  cooperate  in  every  way  but  yours 
is  the  load”,  he  said.  ,rWe  stand  ready  to  meet  at  any  time  for 
round-table  discussions  or  to  witness  demonstrations.  But  yours 
is  a  job  by  study,  consultation,  research,  joint  research  and  by 
allocation  of  such  work  to  develop  a  satisfactory  set  of  standards 

for  television.  I  have  no  doubt  that  a  satisfactory  set  of  stand¬ 

ards  can  be  developed. 

”1  hope  your  work  will  cover  every  phase  in  the  field  of 
television  so  that  the  whole  program  will  be  coordinated.  Former 
standards  have  been  inadequate  for  a  uniform  method  of  telecasting. 
In  this  work  patent  interests  of  individual  companies  must  be 
recognized.  No  one  would  ask  to  encroach  on  this. 

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"Moreover”,  he  added,  "I  don’t  want  anyone  to  ask  me 
arbitrarily  when  television  will  be  ready  for  commercial  opera¬ 
tion.  That  job  is  yours.  To  this  body  we  expect  to  come  back 
because  the  FCC  must  rely  on  it  before  adopting  any  single  set  of 
standards.  We  have  no  alternative  but  to  move  forward  with  you 
gentlemen.  " 

Mr.  Fly  said  that  he  expected  a  substantial  number  of 
stations  to  be  on  the  air  in  the  near  future.  So  far  as  the  FCC 
is  concerned,  he  continued,  "the  more  the  merrier".  However,  he 
warned  that  there  should  be  "no  squawking"  about  wavelengths.  They 
are  in  the  public  domain,  he  pointed  out. 

"For  one  thing",  he  asserted,  "the  Commission  is  not  go¬ 
ing  to  issue  licenses  to  every  Tom,  Dick  and  Harry,  to  sit  tight 
until  things  get  good.  Applicants  must  be  prepared  to  go  somewhere 
in  development  and  experimentation.  " 

President  Knowlson  of  EMA,  in  opening  the  Committee 
meeting  said,  in  part: 

"You  have  been  called  together  to  form  this  industry 
committee,  not  as  a  part  of  RMA  but  under  the  auspices  of  RMA, 
to  search  for  and  develop  the  best  possible  standards  which  may 
be  set  up  for  television  at  this  time. 

"Here  is  a  new  art  clamoring  to  be  born  -  and  there  is 
no  reason  to  suppose  that  the  birth  of  television  will  be  any 
easier  or  free  from  pain  than  any  other  birth. " 

Chief  Engineer  Jett  stated  that  television  standards 
are  absolutely  essential-  before  television  can  be  launched. 

"It  is  hoped  that  the  standards  eventually  adopted  will 
be  truly  representative  of  the  industry",  said  Lieutenant  Jett, 

"and  also  permit  future  development.  Some  standards  must  be 
frozen  now,  such  as  the  6  megacycle  channel,  but  the  way  should  be 
kept  open  to  improve  this  and  other  standards  later  on. " 

Chairman  Baker,  who  later  appointed  "panel"  or  "sub¬ 
committee"  Chairmen  for  detailed  technical  studies,  stated  that 
the  Television  Systems  Committee  "is  charged  with  the  responsibil¬ 
ity  of  determining  the  basic  standa.rds  for  a  system  of  communica¬ 
tion  capable  of  transmitting  intelligence  in  a  form  which  will, 
in  the  future,  probably  have  more  effect  on  the  life  of  the  American 
people  than  any  system  known  today. 

"The  real  possibilities  of  television",  continued 
Chairman  Baker,  "as  a  means  of  education  and  entertainment,  are 
today  unknown.  Television  represents  a  new  textbook  as  yet  un¬ 
opened  -  for  the  theatre,  a  new  stage  whose  curtains  have  not  been 
drawn,  and  for  the  movies,  a  screen  that  is  as  yet  dark. 


3 


8/2/40 


"Television  is  peculiar  in  that  in  order  to  insure  full 
utilization  by  the  public,  it  requires  a  fairly  complete  set  of 
standards  before  it  is  launched  commercially. " 

The  organization  of  the  National  Television  Systems 
Committee  as  appointed  by  President  Knowlson  of  RMA,  follows: 

Chairman,  Dr.  W.  R.  G-.  Baker,  Director  of  the  Engineer¬ 
ing  Department  of  the  Radio  Manufacturers  Association;  Bell  Tele¬ 
phone  Laboratories,  A.  A.  Oswald;  Columbia  Broadcasting  Systems, 
Inc.,  Adrian  Murphy,  Executive  Director  of  Television;  Don  Lee 
Broadcasting  System,  Harry  R.  Lubcke,  Director  of  Television; 

Allen  B.  DuMont  Laboratories,  Inc.,  Allen  B.  DuMont,  President; 
Farnsworth  Television  &  Radio  Corporation,  B.  Ray  Cummings,  Vice- 
President  in  Charge  of  Engineering;  General  Electric  Company, 

E.  F.  W.  Alexanderson;  Hazeltine  Corporation,  Daniel  E.  Harnett, 
Chief  Engineer;  John  V.  L.  Hogan,  representing  Consulting  Engi¬ 
neers;  Hughes  Tool  Company,  Albert  I.  Lodwick;  The  Institute  of 
Radio  Engineers,  Inc. ,  Dr.  A.  N.  Goldsmith;  Philco  Corporation, 
David  B.  Smith;  Radio  Corporation  of  America,  E.  W.  Engstrom; 
Stromberg- Carl son  Telephone  Mfg.  Co. ,  Frederic  C.  Young,  Chief 
Engineer;  Television  Productions,  Inc.,  representative  to  be 
appointed,  and  Zenith  Radio  Corporation,  John  R.  Howland,  Secretary 
and  Assistant  to  the  President. 

Details  of  organization  and  future  procedure  were  arrang¬ 
ed  at  the  New  York  meeting.  Many  companies,  including  research 
and  technical  experts,  will  serve  on  various  "panels”  of  the  com¬ 
mittee.  Chairman  Baker  appointed  and  announced  the  organization 
of  "panels"  or  "subcommittees"  with  their  respective  chairmen, 
as  follows:  System  Analysis,  P.  C.  Goldmark;  Subjective  Aspects, 

Dr.  A.  N.  Goldsmith;  Television  Sjectra,  J.  E.  Brown;  Transmitter 
Power,  E.  W.  Engstrom;  Transmitter  Characteristics,  Philo  T. 
Farnsworth;  Transmitter- Receiver  Coordination,  I.  J.  Kaar;  Picture 
Resolution,  D.  E.  Harnett;  Synchronization,  T.  T.  Goldsmith,  and 
Radiation  Polarization,  David  B.  Smith. 

xxxxxxxx 


TWO  PLEAD  GUILTY  TO  UNLICENSED  RADIO  OPERATION 


The  Federal  Communications  Commission  disclosed  this 
week  that  recent  investiga.tion  of  unlicensed  radio  operation  in 
San  Francisco  resulted  in  the  indictment  of  Ralph  Wildt  and  Louis 
F.  Books  for  violation  of  Sections  301  and  318  of  the  Communications 
Act  of  1934,  as  amended.  Both  defendants  pleaded  guilty  and  will 
be  sentenced  by  the  United  States  District  Court  on  August  9. 

Peter  Ruggeri,  a  minor,  also  charged  with  operating  an 
unlicensed  radio  station  will  be  prosecuted  under  the  Juvenile 
Delinquency  Act.  His  case  is  set  for  trial  August  5. 

XXXXXXXX 
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SARNOFF  TO  BE  QUESTIONED  BY  SENATE  COMMITTEE 


The  Senate  Interstate  Commerce  Committee  hearings  on 
the  renomination  of  Thad  H.  Brown  as  Federal  Communications  Com¬ 
missioner  took  an  unexpected  turn  this  week  as  Senator  Tobey  (R.  ), 
of  New  Hampshire,  turned  the  spotlight  on  the  Radio  Corporation 
of  America  and  the  1931  RCA  anti-trust  suit. 

David  Sarnoff,  President  of  RCA,  was  first  invited  and 
then  ordered  to  be  subpenaed  to  answer  certain  questions  regarding 
the  suit  and  RCA.  He  voluntarily  agreed  to  testify  at  10  o’clock 
Tuesday  morning. 

The  FCC  Monopoly  Committee,  of  which  Mr.  Brown  is  Chair¬ 
man,  was  sharply  criticized  by  Chairman  Wheeler  of  the  Senate 
Committee  for  its  failure  to  investigate  charges  of  bribery  of 
two  former  United  States  Senators  and  a  Court  Clerk  in  connection 
with  the  anti-trust  suit. 

Senator  Wheeler  rebuked  Mr.  Brown  for  not  undertaking 
an  investigation  of  the  bribery  charges  against  a  licensee  of 
the  Commission.  He  pointed  out  that  the  FCC  Monopoly  Committee 
had  gone  into  the  Columbia  Broadcasting  System-Paramount  Pictures 
stock  deal,  which  he  described  as  of  vastly  less  importance. 

The  bribery  charges  were  originally  made  on  the  floor 
of  the  House  in  May,  1938,  when  a  resolution  to  investigate  the 
FCC  was  pending.  Senator  White,  Republican,  of  Maine,  said  the 
resolution  was  defeated  principally  on  the  ground  that  the  FCC 
would  conduct  the  investigation. 

Senator  Wheeler  asked  Mr.  Brown  if  he  didn’t  think  it 
was  important,  when  charges  of  this  character  were  made  by  a  mem¬ 
ber  of  Congress,  that  the  Monopoly  Committee  should  have  gone  into 
the  matter,  particularly  as  it  was  to  investigate  monopoly.  Mr. 
Brown  said  the  Committee  sent  out  notices,  but  Senator  Wheeler 
interjected: 

"Brown,  you  can’t  hide  behind  that  excuse.  It  seems  to 
me  that  if  that  Commission  has  got  any  brains  or  any  sense  at  all, 
when  charges  are  made  of  bribe rty  by  its  licensees  and  you  pay  no 
attention  to  it,  that  is  a  pretty  weak  excuse  and  dumb.  11 

Senator  Tobey  said  he  was  prepared  to  present  charges, 
including  names  and  dates,  showing  that  two  former  United  States 
Senators  and  an  official  of  a  United  States  Court  were  bribed  to 
effect  the  postponement  of  the  RCA  anti-trust  suit  in  1932  until 
after  the  new  administration  came  into  power.  He  said  the  monopoly 
report  of  the  FCC  dealt  at  great  length  with  the  Columbia-Paramount 
transaction,  but  nowhere  in  the  report  is  there  any  indication 
that  the  RCA  suit  was  investigated. 

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Charging  the  FCC  monopoly  report  was  a  startling  indict¬ 
ment,  "almost  criminal ",  of  innocent  men,  Senator  Tobey  on 
Wednesday  last  engaged  in  several  heated  exchanges  with  Mr.  Brown. 

Senator  Tobey  said  Mr.  Brown  had  made  serious  charges 
in  the  Commission  Committee’s  monopoly  report  against  Columbia 
and  its  officials.  He  said  Mr.  Brown  had  testified  at  previous 
hearings  that  certain  stockholders  of  Columbia  had  been  "gypped". 

If  Mr.  Brown’s  statements  are  true,  Senator  Tobey  told 
the  Committee,  he  should  be  confirmed;  if  they  are  not,  he  did 
not  see  how  the  Senate  could  vote  for  confirmation. 

Senator  Tobey,  addressing  Mr.  Brown  directly,  said  the 
Senate  had  a  right  to  rely  on  statements  in  the  monopoly  report, 
and  if  Senators  were  held  up  to  ridicule  and  accused  of  malicious 
motives  for  making  comments  on  the  report,  he  proposed  to  hold 
Mr.  Brown  responsible. 

Mr.  Brown  insisted  that  acquisition  by  Columbia  of  its 
stock  from  Paramount  Pictures  resulted  in  a  loss  to  the  minority 
stockholders  of  $43,000  at  $5  a  share. 

At  one  stage  of  the  inquiry,  Senator  Tobey  denounced 
Commissioner  Brown  for  attempting  to  answer  a  question  by  reading 
a  letter  written  to  the  Committee  by  FCC  Chairman  James  L.  Fly. 

"Does  Mr.  Fly  have  to  wet  nurse  you?"  he  shouted. 

"Leave  the  letter  out  of  the  picture.  I  want  Brown  to  testify  in 
his  own  words.  " 

John  J.  Burns,  special  CBS  counsel  in  the  monopoly  in¬ 
quiry,  and  William  J.  Norfleet,  FCC  Chief  Accountant,  became  in¬ 
volved  in  a  controversy  over  accounting  practices  after  Mr.  Brown 
had  put  the  accountant  on  the  stand  to  explain  why  he  had  reported 
that  CBS  used  capital  funds  rather  than  surplus  to  buy  Paramount 
stock. 


xxxxxxxxx 


A  presidential  order  in  Guatemala  prohibits  the  adver¬ 
tising  of  national  or  imported  liquors  by  radio  broadcasting  or 
Dy  the  use  of  portable  or  stationary  apparatus  fitted  with  loud 
speakers.  Violation  of  this  order  will  be  punishable  by  a  fine 
of  from  10  to  150  quetzales,  in  addition  to  any  other  fines  that 
may  be  incurred  by  such  advertising. 

xxxxxxxxxx 


-  6 


s  \  ;;  ; 


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8/2/40 


ASCAP  ADDRESSES  NAB  CONVENTION  DESPITE  REFUSAL 


Although,  the  National  Association  of  Broadcasters  refus¬ 
ed  to  permit  a  representative  of  the  American  Society  of  Authors, 
Composers  and  Publishers  to  address  its  San  Francisco  convention, 
ASCAP  sent  a  message  to  the  broadcasters  this  week  via  an  advert¬ 
isement  in  a  special  ASCAP  edition  of  Variety. 

"We  asked  for  the  privilege  of  having  a  representative 
address  the  members  of  NAB  at  their  convention  in  San  Francisco", 
said  ASCAP.  "The  request  was  denied.  Courteously,  cordially, 
and  conclusively. 

"Not  being  able  to  deliver  our  message  to  you  in  person, 
we  now  deliver  it  to  you  in  print.  Here  it  is: 

"Every  broadcaster  in  the  United  States  who  is  mindful 
of  his  obligations  to  serve  the  public  interest,  is  herewith  as¬ 
sured  of  our  complete  cooperation. 

"All  our  music,  past,  present  and  future,  is  available 
to  all,  at  terms  within  the  means  of  all. 

"Our  1,109  composer- author  members  and  our  137  music 
publisher  members  will  continue  to  say  it  with  music,  because  the 
public  wants  music  and  the  public  must  be  served. 

"That’s  our  message.  And  we  present  it  to  you  with  all 
good  wishes  for  the  continued  progress  of  the  art  of  broadcasting 
and  the  success  of  all  broadcasters.  " 

XXXXXXXXX 


SENATE  COMMITTEE  ALERT  TO  RADIO  "SUBTERFUGES" 


Chairman  Gillette  said  this  week  the  Senate  Campaign 
Expenditures  Committee  would  be  on  the  alert  for  reported  "sub¬ 
terfuges"  which  he  said  he  understood  would  be  used  in  giving 
radiqtime  in  behalf  of  political  candidates. 

"information  has  come  to  the  committee",  he  said  at  a 
press  conference,  "that  elaborate  plans  are  being  developed  to 
utilize  the  radio  in  the  present  campaign  in  the  hope  of  sponsors 
paying  for  the  time  without  bringing  the  expenditures  within  the 
statutory  campaign  limitation.  The  suggestion  takes  the  form  of 
having  commercial  sponsors  arrange  for  guest  speakers  to  appear 
on  programs.  Then  the  guest  speakers  would  make  political  speeches. 

The  candidates  and  sponsors  were  not  identified  by 
Senator  Gillette. 

XXXXXXXX 

-  7  - 


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8/2/40 


MULLEN  TO  BE  GENERAL  MANAGER  OF  NBC 


Frank  E.  Mullen,  who  since  1939  has  been  Vice-President 
of  the  Radio  Corporation  of  America  in  Charge  of  Advertising  and 
Publicity,  will  be  appointed  to  a  newly-created  position  of  NBC 
Vice-President  and  General  Manager  at  a  meeting  of  the  Directors 
of  the  National  Broadcasting  Company  in  New  York  on  Friday.  The 
appointment  is  being  made  upon  the  recommendation  of  Niles 
Trammel,  NBC  President. 

A  friend  and  business  associate  of  Mr.  Trammel  for  a 
dozen  years,  Mr.  Mullen  will  report  directly  to  the  NBC  President. 
Both  executives  began  their  careers  with  NBC  in  Chicago,  where  Mr. 
Mullen  was  NBC  Director  of  Agriculture  in  1926-34. 

Frank  M.  Russell,  NBC  Vice-President  in  Washington,  is 
expected  to  have  additional  responsibilities  under  the  new  manage¬ 
ment  set-up.  He  is  an  intimate  friend,  as  well  as  a  business 
associate,  of  Mr.  Mullen  as  their  friendship  dates  back  to  the 
days  when  they  were  classmates  at  Iowa  State  College. 

XXXXXXXXX 


RADIO  STATION  INCOME  SHOWS  INCREASE  FOR  1939 


The  total  revenue  of  705  standard  broadcast  stations 
reporting  to  the  Federal  Communications  Commission  for  the  calen¬ 
dar  year  1939  amounted  to  $89,990,646,  as  compared  with  $79,128,760 
for  the  660  stations  reporting  in  1938.  This  is  revealed  in  fig¬ 
ures  on  broadcast  income  of  stations  by  class  and  network  revealed 
this  week  by  the  Accounting,  Statistical,  and  Tariff  Department 
of  the  Commission. 

The  tabulation  shows  that  there  were  397  stations  in 
major  networks  compared  with  350  in  1938.  The  397  stations  receiv¬ 
ed  $22,500,941  from  the  three  major  networks,  compared  with 
119,645,447  for  the  350  stations  in  1938. 

There  were  519  stations  in  1939  each  of  which  had  total 
net  time  sales  in  excess  of  $25,000  compared  with  485  for  1938. 

The  519  stations  had  net  time  sales  of  $80,306,134  for 
1939,  compared  with  $71,082,465  for  the  485  stations  in  1938. 

XXXXXXXXX 
-  8  - 


i 


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' 


-  OY 


8/2/40 


LITTLE  PROFIT  SEEN  IN  POLITICAL  RADIO  BUSINESS 


Because  of  the  loss  of  valuable  commercial  time  and  the 
off-setting  cost  of  covering  the  party  conventions,  the  networks 
do  not  expect  to  make  much  profit  out  of  political  paid-for  radio 
time  this  year. 

Broadcasters  are  still  disturbed  over  the  threatened 
loss  of  revenue  by  the  plans  of  President  Roosevelt  to  refrain 
from  political  debate  and  the  indefinite  plans  of  Congress.  So 
long  as  members  remain  in  Washington,  it  is  unlikely  that  they 
will  do  any  intensive  political  campaigning  via  the  ether. 

Having  already  spent  or  lost  in  the  cancellation  of 
commercial  contracts  nearly  $600,000  by  covering  the  political 
conventions,  the  networks  now  face  the  cost  of  carrying  the 
acceptance  speeches  of  both  presidential  and  vice  presidential 
candidates  as  sustaining  features. 

The  Democratic  National  Convention  cost  the  major  net¬ 
works  an  estimated  $233,942.  Added  to  the  $364,700  expended  in 
covering  the  G-.  O.P  sessions  in  Philadelphia  three  weeks  previous, 
the  total  reaches  $598,642  which  the  networks  spent  as  a  part  of 
their  public  service  operations  in  keeping  the  public  fully  in¬ 
formed. 


Out-of-pocket  expenses  for  the  Democratic  coverage  is 
set  by  NBC  at  $13,250,  by  CBS  at  $25,000  and  by  MBS  at  $6,000,  a 
total  of  $44,250.  Commercial  cancellations  cost  NBC  $52,267  in 
lost  time  revenue  after  discounts  and  $35,425  in  rebates  for 
talent.  CBS  lost  $75,000  for  time  and  $25,000  for  talent.  MBS 
figures  its  losses  at  $2,000  for  time  and  talent.  The  total  com¬ 
mercial  loss  for  all  networks  thus  amounts  to  $189,692.  Mutual 
explains  its  low  losses  because  it  was  able  to  arrange  for  makeup 
broadcasts  for  most  of  its  clients  whose  regular  programs  were  cut 
out  by  convention  broadcasts. 

Total  expenses  for  each  network  for  the  conventions  were 
as  follows:  NBC,  $160,500  for  the  Republican  and  $100,942  for 
the  Democratic  conventions;  CBS,  $195,000  and  $125,000;  MBS  $9,200 
and  $8,000. 

Totals  for  both  conventions  were:  NBC  $261,442;  CBS, 
$320,000;  JABS,  $17,200. 


XXXXXXXXXX 


9 


n  X  :  > 


8/2/40 


PHILIPS  NOSING  OUT  U.S.  FIRMS  IN  ARGENTINA 


It  is  reported  locally  that  the  Dutch  radio  manufactur¬ 
ing  company,  Philips,  is  considering  a  further  extension  of  its 
manufacturing  activities  in  Argentina  to  compensate  for  the  dis¬ 
ruption  of  its  production  facilities  in  the  Netherlands,  accord¬ 
ing  to  the  American  Consulate  General  at  Buenos  Aires. 

"The  expanding  activities  of  the  Philips  company  is  one 
of  the  chief  factors  in  the  declining  Argentine  demand  for  Ameri¬ 
can  radio  materials",  the  report  states.  "Practically  all  receiv¬ 
ing  sets  now  sold  in  the  Argentine  market  are  manufactured  in  the 
country,  United  States  trade  consisting  of  component  parts  and 
tubes.  Exports  of  American  radio  materials  to  Argentine  during 
1939  were  valued  at  $1,376,264,  compared  with  $1,859,216  in  the 
preceding  year  and  $2,621,806  in  1937. 

"The  position  of  American-made  tubes  in  the  Argentine 
market  has  been  declining  as  a  result  of  a  number  of  factors, 
including  increased  domestic  production,  the  growing  demand  for 
receiving  sets  requiring  European  type  tubes,  and  the  intensified 
competition  of  Philips  tubes.  In  the  opinion  of  authorities  in 
the  local  trade,  the  Philips  company  accounted  for  approximately 
half  of  the  2,000,000  receiving  tubes  sold  in  the  Argentine  market 
during  the  last  calenda.r  year. 

"It  is  reliably  estimated  that  the  number  of  receiving 
sets  now  in  use  throughout  Argentina  is  in  excess  of  a  million. 
About  200,000  sets  are  sold  annually,  more  than  half  of  the  sales 
being  in  the  metropolitan  district  of  Buenos  Aires.  " 

XXXXXXXXXX 


U- 235  GIVES  DEBUT  AT  WBZ  CEREMONY 


On  a  salt-water  marsh  in  Hull,  Mas's.  ,  last  Saturday, 
the  much-discussed  member  of  chemistry's  uranium  family,  known 
as  U-235,  gave  its  world  premiere  nublic  performance  as  a  usable 
source  of  power  when  the  splitting  of  one  of  its  atoms  turned  on 
Station  WBZ's  new  50,000-watt  transmitter. 

While  radio  listeners  scarcely  found  the  uranium  debut 
to  be  as  demonstrative  as  the  first  bow  of  a  blues  singer  -  only 
three  metallic  clicks  marked  the  atom- splitting  process  -  engineers 
said  each  of  those  clicks  represented  the  release  of  200,000,000 
electron  volts  from  a  smashed  atom. 

XXXXXXXXXX 


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TRADE  NOTES 


Frequency  modulation  radio  communication  will  have  its 
debut  in  the  utility  industry  late  this  Summer  when  the  Indian¬ 
apolis  Power  &  Light  Company  plans  to  put  into  operation  its  new 
General  Electric  frequency  modulation  emergency  communications 
system.  Ten  of  Indianapolis  Power's  service  cars  and  trucks  are 
being  equipped  with  G-E  25-watt  FM  mobile  transmitters  and  re¬ 
ceivers  for  two-way  communication.  Though  they  may  be  on  jobs 
miles  away,  these  service  vehicles  will  be  able  to  keep  in  close 
touch  with  main  headquarters  where  a  G-E  250-watt  station  trans¬ 
mitter  will  be  in  operation. 


A  decision  of  the  Greek  Ministry  of  National  Economy 
specifies  that  hereafter  all  radios  sent  from  abroad  free  of 
charge,  as  gifts,  to  persons  residing  in  Greece,  will  be  subject 
to  a  special  import  tax  of  40  percent  on  their  estimated  market 
value.  This  is  in  addition  to  the  regular  imoort  duty  which  is 
about  40  percent  ad  valorem.  The  importation  of  such  radios  will 
be  subject  to  the  issuance  of  a  special  import  permit  by  the 
Minister  of  National  Economy. 


Gross  client  expenditures  on  NBC  networks  were  up  16.7$ 
last  month  over  the  corresponding  month  in  1939,  reaching  an  all 
time  high  for  July  of  $3,830,438  as  against  $3,283,555  last  year. 
Cumulative  billings  for  the  first  seven  months  increased  9.7$ 
over  the  same  period  last  year,  totalling  $28,390,314  as  against 
$25,882,492. 

Gross  expenditures  on  the  NBC  Red  Network  in  July  were 
$3,141,902  compared  with  $2,713,798  last  year,  an  increase  of 
15.8$.  Gross  expenditures  on  the  Blue  Network  totalled  $688,536 
as  against  $569,757  in  1939,  an  increase  of  20.8$. 

Cumulative  billings  for  the  first  seven  months  on  the 
Red  Network  were  $22,468,748  compared  with  $20,863,235  in  1939, 
an  increase  of  7.7$.  Blue  Network  billings  totalled  $5,921,566 
as  against  $5,019,257  last  year,  an  increase  of  18$. 


The  Mexican  Ministry  of  National  Defense  announced  that 
it  has  learned  of  four  clandestine  sending  radio  stations  in  addi¬ 
tion  to  the  one  in  Cuernavaca,  news  of  which  was  given  previously. 
The  Ministry  adds  that  "some  of  these  stations  are  the  property 
of  German  citizens",  according  to  the  New  York  Times.  Of  the 
four  stations  spotted,  two  are  in  Cuernavaca,  one  in  Acapulco  and 
one  in  Queretaro.  All  are  accused  of  transmitting  "subsersive  and 
political  propaganda,  and  news"  in  defiance  of  law.  The  Ministry 
of  Communications  has  been  charged  to  make  the  necessary  investi¬ 
gations  and  take  adequate  measures. 

xxxxxxxxxxx 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  AUGUST  6,  1940. 


McCosker  Gives  Gotham  First  Full  Time  "FM"  Station . 2 

Calls  Broadcasting  Squatter’s  Rights  On  Air . 3 

Broadcasting  Day  Curtain-Raiser  For  S.F.  Convention . 4 

Tfould  Hammer  Away  On  National  Defense . 5 

557  Stations  Aid  Defense  Search . . . 6 

Willkie  Seeks  Equal  Radio  Time . 7 

Can  Play  Records  Without  License  Court  Holds . 8 

Citizenship  Proof  Put  Off  For  30  Days . 8 

DuMont  Making  U.  S.  Army  Tests . 8 

Sarnoff  Denies  RCA  Bribery  Allegations . 9 

Trade  Notes . 10 

WMCA  Sees  News  In  Advertising . 11 

July  Billings  Up  Sharply . 11 

Zenith  Sales  Executive  Goes  To  Wincharger . ..........12 

RCA  Clears  $3,728,621 . 12 


No.  1256 


August  6,  1940 


McCOSKER  GIVES  GOTHAM  FIRST  FULL  TIME  "FM"  STATION 


Station  W2X0R,  New  York’s  first  full  time  ’’FM”,  or 
static-less  broadcaster,  went  on  the  air  there  last  week  from  a 
new  1,000- watt  transmitter  atop  the  42- story  building  at  444  Madison 
Avenue.  The  station  will  operate  15  hours  daily,  carrying  not  only 
the  regular  WOR  program,  but  special  higher- quality  programs  for 
two  hours  daily,  one  hour  each  afternoon  and  another  hour  during 
the  evening. 

Maj.  Edwin  H.  Armstrong,  inventor  of  staticless  broad¬ 
casting  and  reception  via  the  FM  method,  pressed  a  button  to  set 
the  system  in  operation,  and  Alfred  J.  McCosker,  President  of  WOR, 
spoke,  as  did  John  R.  Poppele,  Chief  Engineer  of  the  WOR  outfit. 

Music  was  provided  by  a  symphonic  orchestra. 

From  a  special  ’’high- quality "  studio  at  the  1440  Broadway 
WOR  studio,  the  two  hours  of  special  music  will  be  picked  up  by  a 
microphone  designed  to  handle  tones  up  to  more  than  15,000  cycles. 
Special  wire  lines  to  the  W2X0R  transmitter,  less  than  a  mile  dis¬ 
tant  from  the  studio,  will  permit  of  tones  up  to  more  than  20,000 
cycles.  Thus,  when  one  tunes  in  a  program  over  this  system  on  an 
FM  set  equipped  with  a  high-quality  loudspeaker,  the  result  is  said 
to  be  such  as  to  permit  only  instrumental  detection  of  any  differ¬ 
ence  between  the  original  tone  and  the  reproduced  tone. 

The  studio  mike  is  called  an  "Easter  Egg"  because  it 
resembles  it  in  shape  only  it  is  larger.  The  oval  shape  permits 
the  pickup  of  extra  high  frequency  tones,  it  is  said,  and  is  of 
Bell  Laboratory  and  Western  Electric  production.  Likewise,  the 
1,000-watt  transmitter  is  Bell  Lab.  and  Western  Electric  manu¬ 
facture,  made  under  the  license  arrangements  with  Major  Armstrong, 
with  some  frequency-stabilization  touches  added  by  the  Laboratories 
men. 

The  engineers  have  found,  in  tests  during  the  past  few 
days,  that  good  noise- free  reception  of  W2X0R  can  be  had  throughout 
the  Metropolitan  area  and  as  far  away  as  Riverhead,  Long  Island, 
nearly  seventy  mile  s  from  the  central  part  of  the  city.  The  sta¬ 
tion,  however,  has  been  designed  to  give  good  reception  within  a 
forty  to  forty-eight  mile  radius  of  the  transmitter.  The  frequency 
on  which  W2X0R  will  operate  is  43.4  megacycles,  or  43,400  kilocycles. 

Although  occupying  an  entire  floor  of  approximately  1800 
square  feet  at  444  Madison  Avenue,  no  programs  will  originate  there. 
They  will  come  from  WOR’ s  Newark  and  1440  Broadway  studios  and 
occasionally  from  the  WOR  Radio  Playhouse.  The  principal  point  of 
origin  for  FM  broadcasts  will  be  the  Broadway  studio  which  has  been 
redesigned  and  requipped  for  high  fidelity  broadcasting. 

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At  present  there  are  several  thousand  FM  receivers  in 
the  Metropolitan  area.  WOR  estimates  that  there  will  be  at  least 
50,000  within  a  year. 

WOR  has  assigned  three  engineers  to  work  exclusively 
on  FM,  under  the  direction  of  the  station's  supervisor  of  trans¬ 
mitters,  Charles  Singer.  Uninterrupted  service  is  insured  by 
three  power  lines  and  two  special  high  fidelity  broadcast  phone 
lines  (20-20,000  cycles)  between  the  transmitter  and  the  Broad¬ 
way  studios. 

An  application  is  pending  for  permission  to  operate  a 
100  watt  RCA  auxiliary  FM  transmitter. 

The  vertical  coaxial  antenna  on  the  roof  stands  seventy- 
five  feet  above  the  roof,  some  630  feet  above  sea  level.  Two 
auxiliary  forty  foot  antennas  on  the  roof  are  for  emergency  use 
with  the  FM  transmitter,  for  facsimile,  and  high  frequency  short 
wave  relay  broadcasting. 

XXXXXXXX 


CALLS  BROADCASTING  SQUATTER'S  RIGHTS  ON  AIR 


In  an  open  letter,  "They  Shall  Have  Music!",  in  connec¬ 
tion  with  the  25th  Anniversary  of  the  American  Society  of  Composers, 
Authors  and  Publishers,  Gene  Buck,  its  President,  characterizes  the 
broadcasters  as  having  "squatter's  rights  on  the  air".  After  re¬ 
counting  successes  of  the  Society  down  through  the  years,  Mr.  Buck 
writes:  "Thorns  come  with  roses,  'but  ain't  the  roses  sweet'. 

"Thorns  come  with  roses,  'but  ain't  the  roses  sweet'. 

It  was  a  songwriter  who  said  that.  And  it  takes  a  man  with  a  song 
in  his  heart  to  remember  the  roses  and  to  forget  the  thorns. 

"The  radio  chain  executives  who  control  the  air,  have 
publicly  announced  that  beginning  New  Year's  Day,  ASCAP  music  will 
be  barred  from  the  air.  What  a  beautiful  way  to  ring  out  the  old 
year  and  ring  in  the  new! 

"The  music  of  the  thousands  of  composers  of  England, 
France,  our  sister  republics  in  Latin  America;  'The  Stars  and 
Stripes  Fbrever' ,  'God  Bless  America',  'Over  There',  to  be  'given 
the  air'  by  the  gentlemen  who  claim  squatter' s  rights  on  the  air. 
Fantastic?  But  true!  We  have  their  published  word  for  it. 

"What  will  we  do?  We  have  a  duty  and  a  responsibility 
to  thousands  of  enterprises  which  depend  uoon  a  steady  flow  of  new 
music  to  entertain  their  patrons.  And  an  equal  responsibility  to 
the  thousands  of  musicians  and  artists  who  interpret  that  music. 

And  above  all  to  the  public,  which  needs  the  inspiration  and  stimu¬ 
lation  and  relaxation  of  music  to  maintain  its  morale  in  these  days 
of  uncertainty. 

"The  American  Society  of  Composers,  Authors  and  Publish¬ 
ers  is  conscious  of  its  duty  and  will  perform  it.  Whether  we’re 
on  the  air  or  'given  the  air',  when  the  public  says,  'Let's  start 
the  show,  let's  have  some  music',  we'll  see  to  it  that  they  shall 
have  music.  " 


XXXXXXXXX 


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8/6/40 


BROADCASTING-  DAY  CURTAIN-RAISER  FOR  S.F.  CONVENTION 


Broadcasting  Day  last  Saturday,  a  day  which  will  mean 
more  and  more  as  time  goes  on,  very  successfully  heralded  the 
opening  of  the  convention  of  the  National  Association  of  Broad¬ 
casters  at  San  Francisco.  There  was  a  gigantic  hookup  from  the 
West  Coast  linking  500  stations.  The  keynote  address  was  a  message 
from  President  Roosevelt  delivered  by  Stephen  Early,  his  No.  1 
Secretary.  Chairman  James  L.  Fly,  of  the  Federal  Communications 
Commission,  Neville  Miller,  President  of  the  NAB,  and  numerous 
radio  stars  were  likewise  heard  from. 

"We  have  enjoyed  the  blessings  of  freedom  and  liberty  so 
long  that  there  is  a  temptation  for  the  words  to  become  abstrac¬ 
tions",  Mr.  Early  declared.  "Yet  tonight  there  are  men  who  can 
perhaps  hear  these  words  over  short-wave  transmitters  who  are  suffer¬ 
ing  the  tyranny  and  slavery  that  follow  the  loss  of  freedom.  Ex¬ 
pression  of  opinion  in  parts  of  the  world  is  a  felony  punishable  by 
death.  It  is  likewise  a  crime,  according  to  the  credo  of  the 
tyrants,  to  listen  to  the  opinions  of  others  if  such  views  differ 
with  the  dictator.  Yes,  tonight  there  are  men  who  are  fighting  and 
dying  to  maintain  that  freedom  for  themselves  and  perhaps  for  us  all.' 

Mr.  Early  emphasized  the  part  that  broadcasters  can  play 
in  national  defense  by  taking  care  to  present  facts  impartially  and 
without  distortion  to  help  maintain  the  morale  of  the  people. 

"To  the  broadcasters  and  the  millions  of  listeners  to 
this  program,  I  bring  greetings  and  best  wishes  from  the  President", 
he  declared.  "You  broadcasters  know  the  President’s  views  on  the 
relationship  of  radio  to  government.  Some  time  ago  he  pointed  out 
that  while  the  government  had  been  required  to  set  up  essential  con¬ 
trols  of  radio  operation  to  prevent  complete  confusion  on  the  air, 
in  all  other  respects  radio  is  as  free  as  the  press.  Tonight  I 
bring  to  you  my  expression  of  hope  that  this  freedom  will  forever 
endure. " 


William  Green,  President  of  the  American  Federation  of 
Labor,  speaking  from  Washington,  asserted  that  radio  had  helped 
implement  free  speech  "into  one  of  the  most  powerful  weapons  at 
America's  command  for  the  preservation  of  democracy." 

Chairman  Fly  of  the  FCC  said  that  radio  listeners  "have 
made  it  clear  that  you  do  not  want  the  magic  of  radio  bent  under  the 
yoke  of  selfish  interests;  that  you  want  this  public  facility  left 
completely  free  to  serve  the  interests  of  the  public. " 

XXXXXXXXXX 


-  4 


8/6/40 


WOULD  HAMMER  AWAY  ON  NATIONAL  DEFENSE 


Louis  Johnson,  former  Assistant  Secretary  of  War,  whose 
leaving  Washington  has  caused  so  much  comment,  speaking  at  the 
annual  convention  of  the  National  Association  of  Broadcasters  at 
San  Francisco,  declared  the  big  opportunity  of  the  broadcasters 
lay  in  continually  hammering  home  the  fact  that  it  is  teamwork 
that  will  win  in  national  defense. 

"Three  years  ago  I  became  a  radio  commentator",  Mr. 
Johnson  said.  "For  my  subject,  I  took  ’National  Defense’.  For 
sponsors,  I  chose  the  American  people.  Since  then  I  have  come  to 
the  microphone  on  an  average  of  almost  once  a  week  to  discuss  my 
theme. 


"In  1937,  America  was  not  awake  to  the  needs  for  adequate 
preparedness.  Too  many  of  us  lived  with  a  false  sense  of  security. 

We  had  begun  to  look  upon  our  oceans  as  impregnable  Maginot  lines. 

It  was  such  state  of  mind  that  I  felt  it  my  duty  to  correct. 

"As  a  World  War  veteran  with  overseas  service,  as  a  former 
National  Commander  of  the  American  Legion,  and  as  a  patriotic  Ameri¬ 
can  citizen,  I  realized  the  importance  of  national  defense.  As 
soon  as  I  joined  the  War  Department  I  made  it  my  responsibility  to 
go  out  and  to  convince  the  American  people  that  national  defense  was 
a  basic  consideration  in  the  life  of  our  country.  To  gain  the  co¬ 
operation  of  our  citizens,  I  visited  every  State  in  the  union  at 
least  once,  and, many  of  them,  several  times.  Altogether  I  made  more 
than  two  hundred  public  addresses  on  the  subject  of  national  defense. 

"With  the  aid  of  radio  facilities,  with  the  support  of 
the  press,  and  with  the  cooperation  of  military  and  civic  leaders 
everywhere,  I  was  able  to  awaken  a  great  deal  of  enthusiasm  for  our 
defense  program.  Some  skepticism,  I  did  encounter;  and,  here  and 
there,  I  ran  into  what  radio  advertising  men  call  ’sales  resistance' 
to  the  ’commodity'  I  was  advertising.  Persistence,  time,  and 
especially  events  in  Europe  and  in  Asia  at  last  made  our  people 
national  defense  conscious . 

"National  defense  in  its  broadest  phases,  however,  in¬ 
cludes  not  only  a  strong  army,  an  unsurpassed  navy  and  an  invincible 
air  corps,  not  only  an  industry  geared  to  produce  munitions  of  war 
in  time,  in  quality  and  in  quantity  as  required,  but  also  a  united 
nation,  a  nation  spiritually  aroused  to  its  grave  responsibilities 
and  ready  at  all  costs  to  work  for  a  comman  end. 

"You  broadcasters  of  America,  who  are  expert  phrase  and 
slogan  makers,  I  urge  to  coin  a  national  motto  to  keep  constantly 
before  the  American  people  as  a  reminder,  every  day,  in  every  way, 
of  the  necessity  for  national  teamwork.  In  your  bulletins,  in 
your  advertising  script,  when  you  open  your  program  and  when  you 
sign  off,  let  there  come  forth  an  urgent  and  effective  appeal  to 
all  Americans  for  national  unity. "  .  .  .  . 

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"In  Europe,  there  may  be  a  stigma  attached  to  one*s 
origin  which  may  taint  the  life  and  business  of  a  whole  family, 
even  a  whole  people.  Here,  men  are  measured  by  their  own  conduct. 
Each  is  free  to  live  his  own  life  in  his  own  way  so  long  as  it  does 
not  encroach  upon  the  similar  rights  of  others.  While  we  may  dial 
our  radio  to  any  program  anywhere  in  the  world,  others  must  deafen 
their  ears  to  the  outside  and  listen  only  to  the  voice  of  self- 
anointed  masters.  While  we  may  think,  write  and  say  what  we  please, 
the  lives  of  others  are  circumscribed  to  the  minutest  detail..  .  . 

"We  must  therefore  acquire  national  unity.  We  must 
achieve  without  delay  a  cohesion  into  one  pattern  of  all  American 
dreams  and  aspirations  lest  they  be  forever  denied.  I  therefore 
urge  upon  you  the  need  for  a  revival  of  the  spirit  of  American 
unity  and  as  broadcasters,  to  keep  the  ideal  in  the  forefront  in 
all  your  radio  activities . 

"We  must  move  closer  and  closer  toward  each  other.  We 
must  visit  each  other  more  frequently  and  exchange  our  goods  more 
freely.  This  is  no  time  to  think  of  bargains  and  profits.  In  the 
world  of  today  we  in  this  continent  must  work  together. 

"Again,  I  turn  to  you  radio  broadcasters  to  translate 
this  ardent  desire  into  a  popular  formula  that  will  remind  us  every 
day  of  our  duty  and  responsibility . 

"I  appeal  to  you  as  radio  broadcasters  to  put  new  life 
and  meaning  into  our  loyalties  -  our  loyalties  to  our  home,  to  our 
family,  to  our  church,  to  our  community,  to  our  country,  to  extol 
them  before  the  youth  of  our  country,  to  recall  them  to  the  minds 
of  our  mature  and  our  aged. " 

XXXXXXXXXX 


557  STATIONS  AID  DEFENSE  SEARCH 


Five  hundred  and  fifty-seven  broadcasting  stations,  an 
increase  of  184  over  those  heard  from  the  week  before,,  have  joined 
together  through  the  National  Association  of  Broadcasters  in  radio’s 
recently  announced  National  Defense  program,  which  seeks  to  locate 
man  power  for  the  Government. 

A  minimum  of  100,000  skilled  workers  represents  the  pre¬ 
sent  requirements  of  the  Army,  Navy  and  other  defense  agencies  for 
which  the  U.  S.  Civil  Service  Commission  seeks  to  procure  workers. 

XXXXXXXXXX 


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8/6/40 


WILLKIE  SEEKS  EQUAL  RADIO  TIME 


Wendell  L.  Willkie  will  demand  as  much  free  radio  time 
as  is  accorded  to  President  Roosevelt  during  the  1940  campaign,  it 
was  learned  at  Des  Moines,  Iowa,  last  Saturday  night  where  Mr. 

Willkie  had  gone  for  a  conference  with  Mid-Western  Governors  and 
farm  leaders. 

Weighing  statements  of  the  President  that  his  concern  over 
international  developments  would  force  him  to  remain  close  to  the 
Capital  and  confine  his  campaign  pronouncements  to  press  conferences 
and  radio  addresses,  leaders  of  the  Willkie  campaign  told  Inter¬ 
national  News  Service: 

"If  Mr.  Roosevelt  plans  to  carry  on  his  campaign  from  the 
White  House,  through  fireside  chats  for  which  the  radio  chains 
donate  their  facilities,  Mr.  Willkie  will  insist  upon  just  as  much 
free  time  to  place  his  message  before  the  country. 

"The  radio  industry  is  a  public  utility  and  Mr.  Willkie 
will  insist  that  both  major  political  parties  be  dealt  with  by  the 
radio  chains  on  a  basis  of  equality.  If  the  Republican  Party  is 
forced  to  pay  for  its  time  on  the  radio,  there  is  no  reason  why  the 
Democratic  Party  should  not  do  the  same.  " 

The  position  was  taken  on  the  eve  of  the  national  conven¬ 
tion  which  opened  in  San  Francisco  on  Sunday,  of  the  National 
Association  of  Broadcasters. 

Already  faced  by  a  warning  from  the  Senate  Special  Elec¬ 
tions  Committee  that  plans  are  under  way  by  which  Nation-wide  com¬ 
mercial  .programs  would  be  placed  at  the  disposal  of  "certain  candi¬ 
dates"  in  violation  of  the  Hatch  "clean  politics"  law,  a  spokesman 
for  the  National  Association  of  Broadcasters  said: 

"The  radio  industry  will  not  lend  itself  to  any  attempt 
to  sidestep  the  Hatch  Act  or  any  other  law.  You  can  be  sure  that 
the  Code  Committee  of  the  Association,  before  our  convention  con¬ 
cludes,  will  adopt  every  possible  safeguard  to  see  that  commercial 
broadcasters  do  not  use  their  programs  for  exploitation  of  any 
candidates.  It  never  has  been  done  and  it  won't  begin  now." 

Examination  of  the  records  of  the  radio  chains  showed 
that  the  Republican  Party  spent  $823,257  in  the  1936  presidential 
campaign  while  the  Democrats  spent  $497,923. 

XXXXXXXXXX 


7 


8/6/40 


CAN  PLAY  RECORDS  WITHOUT  LICENSE  COURT  HOLDS 


The  National  Association  of  Broadcasters  won  an  outstand¬ 
ing  victory  for  the  broadcasting  industry  last  week  when  the  U. S. 
Circuit  Court  of  Appeals  in  New  York  decided  that  broadcasters  have 
the  right  to  play  phonograph  records  without  a  license. 

Retaining  special  counsel  for  this  test  case,  the  Associa¬ 
tion  went  to  bat  for  Station  WNEW,  New  York  City,  and  the  industry 
in  a  suit  brought  by  the  RCA  Manufacturing  Company,  Inc. ,  and  Paul 
Whiteman. 

Judge  Learned  Hand  handed  down  the  decision. 

xxxxxxxx 


CITIZENSHIP  PROOF  PUT  OFF  FOR  30  DAYS 


The  effective  date  of  the  Order  adopted  by  the  Federal 
Communications  Commission  requiring  that  all  commercial  or  amateur 
radio  operators  produce  proof  of  American  citizenship  has  been 
extended  for  one  month  from  August  15th  to  September  15th.  This 
was  due  to  the  fact  that  radio  operators  asked  so  many  questions 
which  required  answering,  that  the  Commission  decided  to  give  them 
a  little  more  time. 


XXXXXXXXX 
DuMONT  MAKING  U.  S.  ARMY  TESTS 


The  Allen  B.  DuMont  Laboratories  at  Passaic,  N.  J. ,  have 
been  granted  special  temporary  authority  to  operate  a  50  watt 
transmitter  on  the  old  No.  1  channel  in  the  Plattsburgh,  N.  Y. 
area,  in  order  to  pick  up  signals  from  mobile  transmitter  W10XKT 
and  rebroadcast  pictures  in  the  area  in  connection  with  tests  in 
cooperation  with  the  U.  S.  Army. 

XXXXXXXXXX 

Temporary  authority  not  to  exceed  three  months,  has  been 
granted  to  install  aeronautical  radio  station  KBJS,  located  at 
Bethel,  Alaska,  primarily  for  communication  with  aircraft  flying 
the  Green  Chain  in  Alaska.  It  will  use  the  frequencies  2922, 
5652.5,  and  6590  kilocycles,  with  power  of  50  watts,  A3  emission. 

XXXXXXXXXXX 
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8/6/40 


SARNOFF  DENIES  RCA  BRIBERY  ALLEGATIONS 


Denying  charges  that  two  former  United  States  Senators 
were  bribed  to  effect  the  postponement  of  a  Radio  Corporation  of 
America  anti-trust  suit  in  1932  until  after  the  new  administration 
came  into  power,  David  Samoff,  President  of  the  RCA,  appearing 
before  the  Senate  Interstate  Commerce  Committee  in  Washington 
(Tuesday)  declared:  "No  payments  were  ever  made  by  the  RCA  in 

this  or  any  other  case.  I  deny  all  these  allegations. " 

"Why  did  you  wait  all  this  time  to  make  this  denial?" 
Senator  Tobey  of  New  Hampshire  asked. 

"When  Congressman  McFarland  originally  made  the  charges 
we  offered  to  give  him  the  facts.  Mr.  McFarland  said  we  would 
hear  from  him  if  he  wanted  them.  He  later  repeated  the  charges 
in  Texas  and  on  the  air  but  we  never  heard  from  him.  This  is  the 
first  Committee  that  has  shown  any  interest  in  them. " 

After  being  pressed  by  Senator  Tobey  to  tell  who  the 
Senators  were  who  were  alleged  to  have  been  bribed,  Mr.  Samoff 
said:  "I'll  do  it  but  remember  I  am  only  doing  it  because  the 

Senator  has  demanded  that  I  do  so,  "  Mr.  Samoff  then  said  the 
Senators  named  were  Senators  Hastings  of  Delaware,  and  Moses,  of 
New  Hampshire. 

There  was  a  dramatic  ending  to  the  day's  sessions  when 
Senator  Tobey  first  announced  that  E.  0.  Kellar,  supposed  to  be 
one  of  the  intermediaries  in  the  alleged  bribing,  would  testify. 
Kellar,  however,  did  not  appear.  Whereupon  the  Senator  mad  an 
affidavit  by  Kellar  making  sensational  charges  against  the  RCA. 

Mr.  Sarnoff  immediately  denied  these  charges.  Following  this, 
Senator  Wheeler  issued  a  summons  for  Kellar  to  appear  before  the 
Committee  the  next  day  (Wednesday)  ,  adding: 

"If  the  charges  against  the  RCA  are  proven  to  be  untrue, 
the  man  who  has  made  them  should  be  turned  over  to  the  Department 
of  Justice  for  investigation. " 

XXXXXXXXXX 


A  New  York  organization  has  inquired  of  the  Federal  Com¬ 
munications  Commission  as  to  the  number  of  regular  program-broad¬ 
cast  stations  in  the  world.  Commission  records  show  that  as  of 
December  1,  1939,  there  were  2,452  regular  broadcast  stations  listed 
throughout  the  world,  of  which  number  314  were  in  the  United  States. 

XXXXXXXXXX 
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8/6/40 


TRADE  NOTES 


WQXR  in  New  York  City  will  soon  broadcast  commercially 
sponsored  Associated  Press  news.  The  first  A.P.  sponsored  broad¬ 
cast  over  an  NBC  station  was  last  week  by  Station  WENR  in  Chicago 
sponsored  by  Morris  B.  Sachs,  a  local  clothier. 


In  a  recent  FCC  press  release,  entitled:  "First  Televi¬ 
sion  Station  for  San  Francisco  Speeded;  NBC  and  Don  Lee  to  Use 
New  Television  Channel  No.  1"  the  visual  power  granted  station 
W6XA0  should  have  been  shown  as  1000  watts  instead  of  100  watts. 


WRUW,  World  Wide  Broadcasting  Corp.  ,  short-wave  station 
at  Boston,  has  been  granted  a  dismissal  of  its  application  for 
modification  of  license  to  add  frequency  6080  kilocycle  to  11730, 
15130  kilocycles,  20000  watts  night,  20000  watts  daytime,  A3  emis¬ 
sion,  unlimited  time. 


Jennings  Pierce,  Director  of  Education  and  Agriculture 
for  NBC's  Western  Division,  San  Francisco,  is  making  an  air  tour 
of  Pacific  Coast  NBC  stations.  With  him  is  Kenneth  Gapen,  Western 
Radio  Program  Director  for  the  U.  S.  Department  of  Agriculture. 


H.  G.  Towlson,  General  Electric  radio  engineer,  has  been 
named  engineer  in  charge  of  radio  transmitter  operations  at  the 
company's  South  Schenectady  transmitting  station,  according  to  an 
announcement  made  by  R.  S.  Peare,  Manager  of  General  Electric 
broadcasting. 


In  his  column  "Over  the  Coffee",  a  feature  of  the 

Washington  Post .  Harlan  Miller  wrote : 


"Radio-mogul  Harry  Butcher  says  if  FM  radio  had  come  first, 
then  regular  AM  broadcasting,  the  kind  we've  had  for  years,  would 
have  been  hailed  as  the  real  miracle. " 


Steps  have  been  taken  by  Kenneth  BerMLey,  Washington's 
NBC  Manager,  to  inform  patrons  of  Washington's  outdoor  Symphony 
Orchesta  held  at  the  Watergate,  about  future  concerts  that  may  be 
postponed  because  of  rain.  The  information  will  be  broadcast  over 
the  radio  one-half  hour  in  advance  of  the  scheduled  starting  time, 
WRC  being  used  on  Sunday  nights  and  WMAL  on  Wednesday  nights.  The 
concerts  have  repeatedly  been  rained  out;  on  the  other  hand  others 
have  been  successfully  held  in  the  face  of  doubtful  weather,  but 
with  the  new  system  of  an  eleventh  hour  radio  flash,  everybody  will 
be  kept  informed  as  to  whether  or  not  a  concert  will  be  given. 

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8/6/40 


WMCA  SEES  NEWS  IN  ADVERTISING 


Spreading  to  radio  "PM's"  (new  newspaper  in  New  York) 
concent  of  reprinting  advertising  free  of  charge  on  the  basis  that 
it  is  interesting  news,  the  Warner  Norge  Company,  Inc.,  distribu-  V 

tors  of  Farnsworth  radios,  has  inaugurated  over  Station  WMCA,  New 
York,  a  program  entitled  "Good  News  in  Advertising". 

In  ad  lib  style  Ken  Farnsworth,  who  is  not  related  to 
the  radio  maker,  will  report  on  the  outstanding  ads  appearing  in 
the  afternoon  papers  of  the  same  day  and  those  scheduled  for  the 
following  morning's  papers.  Newspaper,  advertiser  and  price  as 
well  as  all  salient  advertised  goods  will  be  broadcast,  Farnsworth 
stating  that  "all  I  know  is  what  I  read  in  the  ads".  The  Warner 
Norge  contract  is  for  an  indefinite  period. 

The  radio  innovation  will  be  watched  with  interest,  it  is 
expected,  inasmuch  as  radio  stations  are  beginning  a  determined 
drive  to  get  department  store  accounts,  which  have  been  perennial 
newspaper  advertisers.  It  will  probably  be  possible  for  stores 
to  check  whether  items  mentioned  on  the  program  outpull  other 
goods  advertised  in  the  dailies. 

Radio  advertisers  and  their  agencies  have  been  asked  by 
the  National  Association  to  join  the  broadcasting  industry  in  its 
latest  battle  with  the  American  Society  of  Composers,  a  struggle 
which  may  cut  off  from  the  networks  after  January  1  most  of  the 
music  now  familiar  to  radio  listeners. 

XXXXXXXXXX 


JULY  BILLINGS  UP  SHARPLY 


Gross  billings  for  time  on  the  Columbia  Network  -  prior 
to  deductions  for  agency  commissions  and  time  discounts  to  spon¬ 
sors  -  totaled  $3,067,870  during  July,  1940.  The  July  figure 
brings  the  seven-month  cumulative  total  for  1940  to  $23,525,242. 

The  National  Broadcasting  Company  billings  totaled 
$3,830,438,  up  16.7  percent  over  last  year.  Cumulative  billings 
for  the  first  seven  months  amounted  to  $28,390,314,  a  gain  of  9.7 
percent  over  the  like  period  of  1939. 

Mutual  Broadcasting  System  billings  amounted  to  $235,182, 
an  increase  of  8.6  percent.  For  the  year  to  date  they  were 
$2,266,505,  a  gain  of  23.1  percent. 

XXXXXXXXXX 


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b/b/40 


ZENITH  SALES  EXECUTIVE  GOES  TO  WIN CHARGER 


Commander  E.  F.  McDonald,  Jr.  ,  President  of  the  Zenith 
Radio  Corporation,  Chicago,  has  announced  the  appointment  of 
Robert  F.  Weinig  as  Vice  President  and  General  Manager  of  its 
subsidiary,  the  Wincharger  Corporation  in  Sioux  City,  Iowa.  Mr. 
Weinig  has  been  in  charge  of  farm  radio  sales  for  Zenith.  He  is 
most  enthusiastic  about  what  he  believes  to  be  the  tremendous  farm 
market  possibilities  of  Wincharger. 

Plans  for  further  developments  in  the  farm  electric  field 
are  now  being  carried  on  in  Winchargers*  experimental  laboratory 
under  the  guidance  of  John  and  Gerhardt  Albers  -  the  two  Iowa 
farm  boys  who  founded  the  Wincharger  Corporation. 

In  commention  on  his  connection,  Mr.  Weinig  stated, 
"Electricity  is  the  finest  investment  a  farmer  can  make  from  the 
standpoint  of  contributing  to  the  comfort,  convenience,  health  and 
happiness  of  his  entire  family.  Electricity,  generated  by  Win¬ 
charger,  is  the  most  economical  form  of  electricity  available  to 
the  farmer  today  for  there  is  'no  tax  on  the  free  wind'.  Wincharger 
electricity  also  has  a  strong  appeal  to  the  farmer  who  prefers  to 
own  and  operate  his  own  power  plant  in  preference  to  renting 
electric  service  from  an  outside  source".  " 

XXXXXXXXXXXX 
RCA  CLEARS  $3,728,621 

Following  the  meeting  of  the  Board  of  Directors  of  the 
Radio  Corporation  of  America  last  Friday,  David  Sarnoff,  President 
of  the  company,  announced  that  the  following  dividends  had  been 
declare  d: 

On  the  outstanding  shares  of  $3.50  Cumulative  Con¬ 
vertible  First  Preferred  stock,  87-1/2^  per  share,  for  the  period 
from  July  1,  1940  to  September  30,  1940,  payable  in  cash  on 
October  1,  1940,  to  the  holders  of  record  of  such  stock  at  the 
close  of  business  September  6,  1940. 

On  the  outstanding  shares  of  "B"  Preferred  stock,  $1.25 
per  share,  for  the  period  from  July  1,  1940,  to  September  30,  1940, 
payable  in  cash  on  October  1,  1940,  to  the  holders  of  record  of 
such  stock  at the  close  of  business  September  6,  1940. 

Mr.  Sarnoff  also  released  for  publication  the  consolidated 
statement  of  income  of  the  Radio  Corporation  of  America  and  sub¬ 
sidiaries  for  the  second  quarter  of  1940  and  the  first  six  months 
of  the  year,  with  comparative  figures  for  the  corresponding  periods 
of  1939.  The  report  showed  a  net  income  of  $3,728,621  after  all 
operating  expenses,  taxes,  interest,  depreciation  and  other  charges. 
The  net  was  equal,  after  full  preferred  dividend  requirements  to 
15  cents  each  on  the  corporation's  13,881,016  shares  of  common 
stock  outstanding.  It  compares  with  a  net  of  $2,172,201,  or  4  cents 
a  common  share,  in  the  first  half  of  1939. 

Gross  operating  income  for  the  six  months  aggregated 
$56,559,704,  compared  with  $48,041,640  last  year,  an  increase  of 
$8, 518,  064. 


XXXXXXXX 


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XI 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  AUGUST  9,  1940 


(Sarnoff  Denies  Using  Roosevelt  Friendship  In  RCA  Deal . 2 

RCA  Head  Gives  Schuette  Clean  Bill . 3 

FDR  Congratulates  ASCAP  On  Its  Anniversary . . . 6 

More  New  Television  Stations . 7 

RCA  Disclosures  Eclipse  Brown  Hearing . 8 

Willkie  Time  Promised . 10 

Mrs.  McDonald  Proves  A  Talented  Composer . . . 11 

More  Power  For  U.  S.  Short-Wave  Stations . 11 

Seebach  Elected  To  WOR  Board . 12 

Gen.  Drum  Gets  Two-Way  Communication  Car . 12 

McCosker  To  Visit  Vallee  During  Vacation . 12 

Cost  WLW  $16,000  To  Cover  Conventions . 12 


No.  1257 


SARNOFF  DENIES  USING-  ROOSEVELT  FRIENDSHIP  IN  RCA  DEAL 


There  was  an  immediate  and  sharp  denial  by  David  Sarnoff, 
President  of  the  Radio  Corporation  of  America,  that  he  had  said 
in  1932  that  if  he  could  delay  prosecution  of  a  Government  anti¬ 
trust  case  against  the  RCA  until  after  President  Roosevelt's  in¬ 
auguration,  he  would  have  no  difficulty  in  dealing  with  Mr. 
Roosevelt. 


wIt  is  an  unadulterated  falsehood",  Mr.  Sarnoff  declared, 
"because  I  did  not  see  President  Roosevelt  until  about  a  year  after 
his  inauguration.  I  never  discussed  the  case  with  him.  I  think, 
therefore,  that  it  is  very  unfortunate  and  unfair  that  the  Presi¬ 
dent's  name  has  been  dragged  into  this  case. " 

The  Roosevelt  allegation  was  made  before  the  Senate  Com¬ 
mittee  on  Interstate  Commerce  considering  the  nomination  of  Thad  H. 
Brown  to  succeed  himself  as  a  member  of  the  Federal  Communications 
Commission.  It  came  in  an  affidavit  signed  by  E.  0.  Keller,  sup¬ 
posed  to  be  an  intermediary  for  the  RCA  in  the  postponement  of  the 
case.  The  affidavit  was  introduced  in  evidence  by  Senator  Charles 
W.  Tobey  (R.  ),  of  New  Hampshire.  It  had  to  do  with  a  journey 
which  Mr.  Sarnoff,  a.ccompanied  by  several  others  made  to  Concord, 

N.H.  ,  to  seek  the  advice  of  Senator  G-eorge  Moses,  of  New  Hampshire, 
with  regard  to  getting  a  month's  continuance  of  the  anti-trust 
case. 

"On  my  boat  trip  with  Mr.  Sarnoff,  from  New  York  to 
Boston",  the  affidavit  of  Keller  set  forth,  "Mr.  Sarnoff  informed 
me  that  he  and  President  Roosevelt  had  been  very  close  friends 
since  the  inception  of  radio,  and  that  Mr.  Roosevelt  had  said  to 
him,  'Dave,  you  are  the  father  of  radio  but  when  I  was  Assistant 
Secretary  of  the  Navy,  I  mothered  it  for  you',  and  that  he  believed 
Mr.  Roosevelt  would  be  elected  in  November  and  that  if  he  were  able 
to  postpone  this  case  until  after  the  Roosevelt  inauguration  that 
he  would  have  no  trouble  in  dealing  with  Mr.  Roosevelt  personally. " 

Although  Keller  was  said  to  have  been  continuously  in 
attendance  at  the  Senate  hearings  and  was  to  have  testified  the 
day  Senator  Tobey  introduced  the  affidavit,  he  failed  to  appear. 
Senator  Burton  K.  Wheeler  ( D) ,  of  Montana,  Chairman  of  the  Committee, 
ordered  the  Serge ant- At- Arms  to  issue  a  subpena  for  him. 

There  was  a  sensational  conclusion  to  Keller's  testimony 
two  days  later  when  the  fact  was  brought  out  that  he  had  been  in¬ 
dicted  for  forgery  in  1931,  had  pleaded  guilty  to  the  charge,  and 
had  been  given  a  suspended  sentence  of  00  days. 


XXXXXXXXXX 


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8/9/40 


RCA  HEAD  GIVES  SCHUETTE  CLEM  BILL 


In  an  exchange  with  Senator  Tobey,  of  New  Hampshire,  at 

the  Thad  Brown  hearing,  David  Sarnoff,  President  of  the  Radio 

Corporation  of  America,  defended  the  employment  of  Oswald  F. 

Schuette,  who  in  the  old  days  bitterly  fought  the  Radio  Corporation 

but  was  subsequently  employed  by  them.  The  testimony  follows: 

Senator  Tobey  -  Is  it  not  true  that  Mr.  Schuette,  in  1927,  was 

publicity  agent  for  the  Radio  Protective  Association? 

Mr.  Sarnoff  -  I  think  that  is  right. 

Senator  Tobey  -  He  set  up  headquarters  in  Washington  representing 
the  independents? 

Mr.  Sarnoff  -  Yes. 

Senator  Tobey  -  He  issued  mime  o  gran  he  d  statements  to  the  newspapers 
attacking  R.  C.A.  ,  calling  it  part  of  the  radio 
trust,  and  referring  to  it  as  a  patent  racket.  He 
was  extremely  active  before  this  Senate  Interstate 
Commerce  Committee  and  the  House  Committee  on  Mer¬ 
chant  Marine  and  Fisheries  in  making  attacks  on  the 
radio  trust  and  in  getting  Senator  Dill  and  others 
to  get  after  the  Department  of  Justice  to  investi¬ 
gate  the  so-called  radio  trust  and  to  bring  action 
under  the  anti-trust  acts  against  R.  C.A.  and  others. 
Is  not  that  true? 

Mr.  Sarnoff.  -  That  is  true;  yes. 

Senator  Tobey  -  Indeed,  so  effective  were  his  efforts  that  at  ex¬ 
tended  hearings  held  before  the  Senate  Committee  on 
Interstate  Commerce,  Colonel  Manton  Davis,  Vice 
President  and  General  Attorney  of  R.  C.A.  in  1929, 
attacked  him  before  this  committee  in  the  following 
terms  (reading): 

"If  the  Committee  will  examine  Mr.  Oswald  F. 
Schuette  under  oath  and  will  compel  him  to  disclose 
the  names  of  each  of  those  who  have  supported  his 
activities  and  are  supporting  them,  together  with 
the  contribution  made  and  being  paid  by  each,  I 
think  you  will  uncover  one  of  those  lobbies  against 
which  official  Washington  has  so  often",  and  so 
forth. 

And  on  page  203  he  said  (reading  further): 

"Before  the  House  Committee  on  Merchant  Marine 
and  Fisheries  *  *  *  he  was  appeared  and  attacked  the 
R.  C.A.  and  its  associated  organizations ,  and  always 
the  burden  of  his  story  has  been  that  the  funda¬ 
mental  agreements  underlying  the  complete  original 


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8/9/40 


Senator  Tobey 
(Cont ’  d) 


Mr.  Sarnoff 
Senator  Tobey 

Mr.  Sarnoff 
Senator  Tobey 
Mr.  Sarnoff  ■ 


set-up  were  violations  of  the  anti-monopoly  laws 
and  would  result  in  prosecution  by  the  Government 
of  the  United  States  for  violation  of  those  laws 
*  *  *  *.  Mr.  Schuette  has  continued  without  ceas¬ 
ing  to  repeat  the  same  accusations  to  Congressional 
committees,  Senators  and  Congressmen  and  other 
Government  officials,  and  whenever  he  could,  to  the 
Federal  Radio  Commission  *  *  *.  They  denounce  and 
they  accuse  to  build  a  smoke  screen  behind  which  to 
hide  their  own  wrongdoings.  " 

His  efforts  and  accusations  were  intensified  in  May 
of  1930  when  R.  C.  A.  and  General  Electric  and 
Westinghouse  entered  into  the  patent  pooling  agree¬ 
ments  which  were  the  subject  of  the  anti-trust 
proceedings  which  you,  Mr.  Sarnoff,  were  so  anxious 
to  have  postponed,  and  which  have  been  referred  to 
this  morning. 

It  has  been  mentioned  by  the  chairman  of  this  com¬ 
mittee,  Senator  Wheeler,  that  Mr.  Schuette  suddenly 
ceased  his  attacks  on  R.  C.  A.  and  its  patent  pooling 
agreements  and  its  monopolistic  activities.  Do  you 
know  Mr.  Oswald  Schuette? 

Yes. 

Is  not  the  whole  answer  to  the  thing  that  R.  C.  A. 
bought  him  off  by  giving  him  a  job  in  R. C.A.  at  a 
satisfactory  salary? 

It  is  not  only  not  the  whole  answer,  but  it  is  not 
even  a  part  of  the  answer. 

One  day  he  was  storming  against  R.  C.A. ,  and  then  he 
was  employed  by  them  another  day. 

There  is  nothing  strange  or  mysterious  about  that. 

If  you  want  to  know  about  that,  I  will  tell  you. 

It  is  no  more  mysterious  than  when  a  lawyer  handles 
a  case  against  you  and  handles  it  effectively  and 
wins.  You  might  find  at  some  later  time  that  it  is 
a  good  thing  to  employ  that  lawyer  on  your  side 
because  he  is  a  good  lawyer. 

Mr.  Schuette  had  sincerely  believed  that  the  Radio 
Corporation  was  in  violation  of  the  anti-trust  laws. 
He  was  also  making  a  living  by  representing  those 
who  shared  his  belief.  He  was  a,  very  effective 
gentleman.  He  had  made  a  study  of  the  whole  radio 
art  and  industry,  and  in  the  course  of  the  prepara¬ 
tion  of  the  case  by  the  Department  of  Justice  Judge 
Olney  came  to  rely  on  him  very  much.  I  had  never 
met  Mr.  Schuette  until  the  negotiations  with  the 
Department  of  Justice  had  reached  their  end  or  were 

-  4  - 


8/9/40 


Mr.  Sarnoff 
(Cont1  d) 


Senator  Tobey 

Mr.  Sarnoff 
Senator  Tobey 

Mr.  Sarnoff 
Senator  Tobey 
Mr.  Sarnoff 
Senator  Tobey 
Mr.  Sarnoff 
Senator  Tobey 


almost  near  their  end,  when  Judge  Olney  had  brought 
him  in,  as  a  matter  of  fact,  to  advise  him.  I 
formed  a  very  favorable  opinion  of  this  gentleman's 
capacity.  When  the  consent  decree  was  given  and 
the  General  Electric  and  the  Westinghouse  were  out, 
the  Radio  Corporation  was  alone  and  it  had  to 
establish  itself  in  the  public  mind,  with  the  stock¬ 
holders,  with  organizations  and  with  others  as  a 
company  that  was  able  to  do  its  job  and  render  the 
service  for  which  it  had  been  organized.  I  felt 
that  Mr.  Schuette  would  be  of  great  service  to  the 
company  in  strengthening  the  organization.  I  have 
never  objected  to  those  who  have  been  opposed  to 
the  organization  coming  in  and  learning  about  it, 
because  there  are  no  secrets,  nothing  to  hide.  I 
might  say  to  you  quite  frankly  that  there  were  some 
in  the  organization  that  had  not  as  much  affection 
for  Mr.  Schuette  as  I  had.  I  had  looked  at  the 
matter  entirely  objectively.  Here  was  a  man  who  did 
a  good  job.  He  had  the  confidence  of  the  licensees 
because  he  had  represented  them.  One  of  the  import¬ 
ant  elements  of  revenue  to  the  Radio  Corporation  was 
the  matter  of  royalties  from  the  licensees.  So  I 
invited  Mr.  Schuette  to  come  in  and  learn  about  our 
business  and  to  help  us  with  our  problems  and  under¬ 
stand  what  we  were  seeking  to  do,  particularly  under 
the  new  set-up.  It  was  now  conforming  to  the  con¬ 
sent  decree,  to  the  views  of  the  Government  and  the 
views  which  he  himself  has  urged.  He  came  in  as  a 
regular  employee.  There  was  no  secret  about  it.  He 
has  been  paid.  He  has  been  sent  to  see  customers 
and  licensees.  He  is  a  representative  of  the  Cor¬ 
poration.  He  has  participated  in  our  conferences. 

He  is  now  a  trusted  member  of  the  organization. 

And  he  is  as  strong  pro-R. C.A.  as  he  was  against  it 
be  fore  ? 

Yes. 

And  like  Saul  of  Tarsus,  he  saw  the  light  and  was 
convinced? 

That  often  happens  to  men  who  are  wrong. 

But  there  was  a  quid  pro  quo,  a  retainer? 

No  sir. 

He  was  hired  by  R.  C.  A.  ? 

Yes. 

And  after  that  his  anger  and  antagonism  went  out 
the  window? 


1  f 


I't 


Mr.  Sarnoff 


No.  There  was  no  anger.  The  Corporation  was 
conformed  to  a  net  set-up.  He  was  the  victor  in 
the  set-up.  There  is  no  reason  why  he  should 
have  been  angry.  He  should  have  been  happy. 

How  much  do  you  pay  Mr.  Schuette? 

I  think  he  receives  a  regular  salary  of  $20,000 
a  year. 

Do  you  pay  him  anything  in  addition  to  that? 

Nothing,  except  his  expenses. 

I  mean,  anything  else  in  the  way  of  a  fee. 

No;  no  fee.  That  is  his  salary,  $20,000  a  year. 

As  a  matter  of  fact,  he  is  helping  develop  the 
patent  department.  He  has  been  very  helpful  in 
connection  with  the  development  of  international 
short  wave  broadcasting.  It  never  occurred  to  me 
that  there  was  anything  wrong  in  hiring  a  man  that 
happened  to  be  opposed  to  us.  If  you  did  that 
you  would  never  hire  a  lawyer  who  has  been  on  the 
other  side. 

XXXXXXXX 


FDR  CONGRATULATES  ASCAP  ON  ITS  ANNIVERSARY 


Congratulating  ASCAP  on  its  25th  Anniversary,  President 
Roosevelt  wrote  the  following  letter  to  Gene  Buck,  President  of 
the  Society: 

"Dear  Gene: 

"I  have  learned  with  much  interest  that  the  American 
Society  of  Composers,  Authors  and  Publishers  is  about  to  celebrate 
its  twenty-fifth  anniversary.  May  I  be  among  those  to  congratulate 
you  on  this  very  happy  and  significant  event. 

"The  importance  and  value  of  music  to  the  culture,  morale 
and  entertainment  of  the  nation  were  fittingly  recognized  by  the 
government  in  the  issuance  of  five  special  postage  stamps  honoring 
outstanding  composers  —  Victor  Herbert,  John  Philip  Sousa,  Ethel- 
bert  Nevin,  Stephen  Collins  Foster  and  Edward  MacDowell  -  in  the 
famous  Americans  stamp  series. 

"Your  Society,  in  its  highly  worthwhile  work  of  giving 
protection  and  encouragement  to  our  creators  of  music,  can,  I 
sincerely  believe,  play  an  important  part  in  advancing  American 
leadership  in  the  field  of  music.  In  extending  hearty  greetings 
may  I  express  the  hope  that  your  Society  will  have  continued  suc¬ 
cess  in  such  a  laudable  objective. 

"With  all  good  wishes, 

Very  sincerely  yours,  " 
XXXXXXXXXX  -6- 


Senator  Wheeler  - 
Mr.  Sarnoff 

Senator  Wheeler  - 
Mr.  Sarnoff 
Senator  Wheeler  - 
Mr.  Sarnoff 


•  „y,; 

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8/9/40 


MORE  NEW  TELEVISION  STATIONS 


Additional  applications  have  been  granted  by  the  Federal 
Communications  Commission  for  the  construction  of  new  television 
stations.  These  included  one  to  the  National  Broadcasting  Co.  , 
Washington,  D.  ,  to  operate  on  frequencies  of  60,000-66,000  (Channel 
No.  2),  A3  and  A5  emission,  and  another  to  the  NBC  in  Philadelphia 
to  operate  on  frequencies  of  102,000-108,000  kc.  (Channel  No.  7). 

Both  stations  are  1  kilowatt  power  aural  and  visual.  It  is  explain¬ 
ed  that  both  are  on  an  experimental  basis  and  that  the  Philadelphia 
station  application  is  granted  in  lieu  of  the  tentative  grant  for 
a  television  station  in  Chicago,  as  it  appears  that  the  Philadelphia 
station  will  make  possible  a  more  concentrated  study  of  television 
systems  by  the  entire  RCA  research  organization. 

Balaban  &  Katz,  Corp. ,  has  been  granted  a  construction 
permit  to  erect  a  new  television  broadcast  station  in  Chicago  on 
the  frequencies  of  60,000-66,000  (Chanel  No.  2)  on  an  experimental 
basis  with  power  of  1  kilowatt  aural  and  visual,  A3  and  A5  emission. 

The  Television  Productions,  Inc. ,  of  Los  Angeles  has  been 
authorized  to  erect  a  new  station  to  use  frequencies  78,000-84,000 
kc.  (Channel  No.  4)  on  an  experimental  basis,  1  kilowatt  power, 
aural  and  visual. 

The  Zenith  Radio  Corp. ,  Chicago,  has  been  granted  a 
modification  of  its  television  station  license  on  Channel  No.  1 
(50,000-  56,000  kc.  )  on  the  condition  that  the  Zenith  Station  W9XZV 
be  used  for  carrying  on  research,  which  covers  engineering  experi¬ 
mentation  tending  to  develop  uniform  transmission  standards  of 
acceptable  technical  quality,  and  for  carrying  on  equipment  tests, 
training  of  technical  personnel,  and  experimental  programs  -  the 
license  otherwise  to  remain  the  same. 

The  Commission,  having  considered  also  the  applications 
of  the  RCA  Manufacturing  Co. ,  Inc. ,  for  modification  of  license 
requesting  Channel  No.  5  for  its  television  broadcast  station 
W3XEP,  and  that  of  the  Philco  Radio  and  Television  Corporation,  as 
amended,  for  modification  of  its  license,  requesting  Channel  No.  3 
for  its  television  broadcast  station  W3XE,  ordered  that  the  appli¬ 
cations  be  granted  upon  the  express  condition  that  Station  W3XEP 
and  Station  W3XE  be  used  for  carrying  on  research,  which  covers 
engineering  experimentation  tending  to  develop  uniform  transmission 
standards  of  acceptable  technical  quality,  and  for  carrying  on 
equipment  tests,  training  of  technical  personnel.  No  public  pro¬ 
gram  service  was  authorized  and  the  licenses  otherwise  remain  the 
same . 

It  was  further  ordered  by  the  Commission  that  their 
Order  No.  69  cancelling  the  licenses  of  Stations  W9XZV,  W3XEP  and 
W3XE  effective  January  1,  1941,  in  order  to  provide  for  the  reallo¬ 
cation  of  frequencies  set  forth  in  the  Commission's  Order  No.  67  be 
amended  to  exclude  from  its  terms  the  licenses  as  modified  for  these 
television  broadcast  stations. 

XXXXXXXX 
-  7  - 


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RCA  DISCLOSURES  ECLIPSE  BROWN  HEARING 


What  started  out  to  be  an  inquiry  by  the  Senate  Inter¬ 
state  Commerce  Committee  into  the  qualifications  of  Col.  Thad  H. 

Brown  to  succeed  himself  as  a  member  of  the  Federal  Communications 
Commission  almost  became,  through  sensational  charges  made  against 
the  Radio  Corporation  of  America,  an  investigation  of  the  entire 
radio  industry.  And  may  yet. 

The  RCA  got  into  the  case  by  Senator  Charles  W.  To bey, 
Republican,  of  New  Hampshire,  asking  Thad  Brown  about  the  allega¬ 
tion  that  the  Radio  Corporation  eight  years  ago  had  bribed  the  then 
U.  S.  Senators  George  H.  Moses,  of  New  Hampshire,  and  Daniel  0. 
Hastings,  of  Delaware,  and  Harry  C.  Mahaffy,  Jr.,  Clerk  of  the 
Federal  District  Court  at  Wilmington,  to  get  an  RCA  anti-trust  case 
postponed.  Colonel  Brown  said  he  had.  never  heard  of  it.  Senator 
Tobey  in  wrath  said  that  the  story  had  been  ’’kicking  around  the 
Capitol  for  years,  that  everybody  knew  about  it”,  and  if  Brown, 
who  had  previously  been  characterized  by  Senator  Wheeler,  of 
Montana,  Chairman  of  the  Committee,  as  ’’dumb”,  had  gone  into  it 
or  even  heard  of  it  he  was  not  fit  to  serve  as  a  Federal  Communica¬ 
tions  Commissioner. 

Whereupon  Senator  Tobey  started  in  on  a  one-man  investi¬ 
gation  of  the  old  RCA  case  the  results  of  which  completely  eclipsed 
the  Thad  Brown  investigation.  Brown  thereafter  sat  over  in  a  corner 
almost  a  forgotten  man  and  one  day  didn't  even  attend  the  sessions. 

Highlights  of  the  Senate  hearings  extending  over  the 
better  part  of  a  week  included: 

Testimony  of  David  Sarnoff,  President  of  the  Radio  Corpor¬ 
ation  of  America  denying  that  the  RCA  paid  money  to  any  Senators 
or  any  other  Government  official  to  effect  a  postponement  of  its 
Government  suit  in  1932.  Mr.  Sarnoff  told  of  a  trip  to  Concord, 

N.H.  to  see  Senator  Moses,  then  Republican  leader  in  the  Senate.  He 
said  he  did  not  ask  Senator  Moses  to  do  anything,  he  merely  sought 
his  advice. 

During  the  conference  with  Senator  Moses,  Mr.  Sarnoff  said, 
there  was  no  discussion  of  money  and  there  was  no  payment  of  money. 
After  the  Senator  retired  from  the  Senate,  he  said  he  met  him  at  a 
Gridiron  dinner  in  Washington.  Upon  inquiry  as  to  what  he  was  doing, 
the  Senator  said  that  he  was  going  to  visit  the  Balkans,  and  Mr. 
Sarnoff  asked  him  if  he  would  undertake  to  make  an  economic  survey 
there  for  the  RCA  and  the  Senator  agreed  and  did  make  the  survey, 
covering  a  period  of  six  months,  sending  him  a  bill  for  $4,000, 
which  was  raid.  Later  there  was  another  six  months’  service  at 
$4,000. 

Robert  D.  O' Callaghan,  RCA  counsel  in  the  Moses-Hastings 
case,  declined  at  first  to  testify  standing  on  his  lawyer  client 
confidential  status,  but  when  the  Radio  Corporation  counsel  waived 
this  right,  he  further  refused  on  the  ground  that  what  he  said 

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8/9/40 


might  tend  "to  incriminate  or  degrade  him".  Senator  Wheeler  never¬ 
theless  persuaded  him  to  testify.  O’ Callaghan  declared  that  two, 
possibly  three  members  of  a  firm  of  Washington  real  estate  brokers, 
received  from  $1,200  to  $1,500  each  because  of  threats  to  charge 
publicly  that  the  RCA  had  hired  the  Senators. 

Mr.  O'  Callaghan1 s  testimony  referred  in  part  to  an  affi¬ 
davit  submitted  to  the  Committee  by  E.  0.  Keller,  a  "contact"  man, 
which  asserted  that  Messrs.  Moses  and  Hastings  each  received  $5,000 
for  their  aid  in  getting  the  trial  postponed;  that  H.  C.  Mahaffy,Jr. 
Clerk  of  the  Federal  District  Court  before  which  the  case  was  pend¬ 
ing,  got  $15,000  for  his  aid  in  the  matter,  and  that  his  brother 
a  year  later  got  a  $50,000  fee  from  the  RCA  for  some  minor  legal 
activities  for  the  corporation. 

Mr.  Keller  testified  that  Senator  Hastings  had  been  res¬ 
ponsible  for  the  appointment  of  Federal  Judge  John  P.  Nields,  jur¬ 
ist  before  whom  the  RCA  case  was  pending  in  Wilmington.  Mr. 

Mahaffy  denied  receiving  any  money.  He  told,  however,  of  Senator 
Hastings  inviting  him  to  New  York  for  a  conference. 

A  few  days  later,  Mahaffy  continued,  he  (Mahaffy) 
sent  out  notices  of  postponement  because  "Judge  Nields  needed  a 
rest".  The  judge,  he  said,  was  suffering  from  a  bad  heart  condition 
and  a  severe  cold.  The  clerk  said  the  postponement  notices  had  been 
sent  out  without  any  formal  application  for  delay,  having  been 
filed  with  the  court.  He  said  he  had  discussed  the  postponement 
with  the  judge,  but  did  not  inform  the  latter  about  his  visit  with 
Mr.  Hastings  in  New  York.  Mr.  Keller  testified  that  Mr.  Moses  had 
conferred  with  Lawrence  Richey,  secretary  to  President  Hoover.  Mr. 
Keller  said  Mr.  Moses  had  informed  him  President  Hoover  and  Attorney 
General  Mitchell  had  refused  to  move  for  any  postponement  of  the 
case  at  the  time. 

C.  Edward  Duffy,  a  former  law  partner  of  ex-Senator  Hast¬ 
ings  of  Delaware,  informed  the  Committee  that  Mr.  Hastings  told  him 
he  had  to  pay  the  clerk  Mahaffy  of  the  Federal  District  Court  at 
Wilmington  $2,500  to  obtain  the  1932  postponement  of  trial  of  the 
anti-trust  suit  against  the  RCA,  a  postponement  which  led  to  a  con¬ 
sent  decree  ending  the  case. 

For  his  services  in  the  matter,  it  was  testified,  Mr. 
Hastings,  then  a  member  of  the  Senate,  received  $7,500  in  all, 
although  he  never  filed  a  motion  for  postponement  and  was  engaged  in 
the  matter  only  three  or  four  days.  Senator  Hastings  characterized 
as  "a  deliberate  lie"  the  fact  that  he  had  paid  Mahaffy  $2,500. 

His  only  activity  recorded  in  the  testimony  was  to  ask 
the  clerk  Mahaffy  to  come  to  New  York  City  and  inform  him  of  the 
state  of  the  court’s  docket  and  how  to  go  about  applying  for  the 
postponement. 

When  E.  0.  Keller,  contact  man,  who  had  made  serious 
charges  against  the  RCA,  took  the  witness  stand,  Mr.  Sarnoff  changed 
to  a  seat  across  the  room  where  he  could  face  the  witness.  "I 


9 


8/9/40 


object  to  Mr.  Sarnoff  changing  his  seat”,  Senator  Tobey  shouted. 

"What  difference  could  that  make?”  Senator  Wheeler  asked.  "Might 
make  a  lot  -  after  the  signals  I’ve  seen  exchanged  and  other 
things  that  have  gone  on  in  the  room  since  this  hearing  started”. 

So  Mr.  Sarnoff  returned  to  his  old  seat  behind  the  witness. 

After  hearing  the  testimony  of  several  real  estate  brokers, 
Senator  Wheeler  exclaimed  "Why  if  the  RCA  wanted  a  postponement  in 
a  U.  S.  Court  did  they  have  to  go  about  getting  it  through  ’real 
estate  brokers’ ?  There  are  more  shakedown  artists  in  this  town 
than  any  place  I  know. ”  Again  referring  to  the  intermediaries 
Senator  Wheeler  said: 

"What  has  been  recorded  here”,  he  added,  "should  be  a  les¬ 
son  to  the  RCA  and  every  other  great  corporation  against  dealing 
with  the  scum  around  Washington  who  claim  to  have  influence.  It’s 
getting  so  a  Senator  cannot  even  say  hello  to  a  person  without  hav¬ 
ing  him  go  out  and  sell  his  alleged  influence  with  him  to  some 
corporation  with  a  problem  which  it  doesn't  know  enough  to  try  to 
settle  in  a  legitimate  manner, " 

XXXXXXXXXX 


will:: is  tiie  promised 


In  response  to  the  demand  of  Wendell  Willkie  that  he 
receive  like  treatment,  the  National  Association  of  Broadcasters 
at  their  convention  in  San  Francisco  decided  that  if  President 
Roosevelt  used  his  "fireside  chat”  radio  technique  as  a  means  for 
electioneering  the  broadcasters  will  give  equal  free  time  to  rival 
candidates. 


The  burden  of  proof,  however,  would  fall  upon  the  opposi¬ 
tion  parties  to  show  that  the  President  had  utilized  his  fireside 
talks  for  campaigning. 

The  Association's  Board  of  Directors  extended  the  con¬ 
tract  of  their  President,  Neville  Miller  of  Washington,  for  one 
year.  It  was  understood  that  the  extension  provided  a  substantial 
increase  in  salary.  The  former  contract  was  to  have  expired  in  1941. 

Mark  Ethridge,  WHAS;  Harold  Hough,  WBAP;  George  W.  Norton, 
WAVE;  Don  Searle,  KOIL;  Harry  R.  Spence,  KXRO;  John  Elmer,  WCBM; 
Edward  Klauber,  CBS;  Fred  Weber,  MBS,  and  Frank  M.  Russell,  NBC, 
were  elected  to  the  Board. 

Unanimous  approval  of  the  BMI  program  for  defeating  the 
ASCAP  music  monopoly  was  voted  by  shouting  delegates  at  what  was 
said  to  be  one  of  the  most  enthusiastic  sessions  in  NAB  convention 
history.  Theodore  Streibert,  Vice  President  of  the  Mutual  Broad¬ 
casting  System,  touched  off  one  of  the  several  demonstrations  at 
the  session  when  he  announced  that  none  of  the  principal  key  sta¬ 
tions  of  that  network  intended  to  use  ASCAP  music  after  next 
December  31. 


XX-XXXXXXXX 

-  10  - 


.  , 


8/9/40 


mrs.  McDonald  proves  a  talented  composer 


A  composition  entitled  w Cane ion*  by  Inez  Riddle  McDonald 
was  heard  in  the  first  of  a  series  of  all-orchestral  programs  during 
August  conducted  by  Alfred  Wallenstein  in  the  Voice  of  Firestone 
Hour  broadcast  on  Monday  evening,  August  5th,  over  the  Red  NBC 
coast-to-coast  network. 


In  the  lilting  rhythm  of  a  Tango  or  Habanera,  this  type 
of  composition  may  have  suggested  itself  to  Mrs.  McDonald  during 
her  cruises  in  the  Caribbean  and  to  Central  America.  If  sc,  she 
has  caught  the  true  grace  and  charm  of  such  music.  It  is  skill¬ 
fully  orchestrated  and  should  find  a  place  in  the  repertoire  of 
other  fine  orchestras. 


Mrs.  McDonald  is  the  wife  of  Commander  E.  F.  McDonald, Jr. , 
of  the  Zenith  Radio  Corporation,  Chicago.  Commander  and  Mrs. 
McDonald  are  on  their  yacht,  the  "Mizpah"  in  Georgian  Bay,  Canada, 
where  no  doubt  they  had  the  pleasure  of  listening  to  the  broadcast. 


xxxxxxxxx 


MORE  POWER  FOR  U.S.  SHORT-WAVE  STATIONS 


Five  additional  U.  S.  international  broadcast  stations  have 
been  authorized  by  the  Federal  Communications  Commission  to  in¬ 
crease  power  to  50  kilowatts.  This  makes  nine  such  stations  which 
are  now  using  or  are  authorized  to  use  the  maximum  power  deemed  by 
Commission  rules  necessary  for  satisfactory  international  service. 


The  five  stations  just  granted  construction  permits  for 
this  purpose  are  National  Broadcasting  Company’s  stations  WRCA  and 
WNBI  at  Bound  Brook,  N.J.;  Columbia  Broadcasting  System’s  Station 
ICBK  near  Wayne,  N. J. ;  and  General  Electric  Company's  Station  WGEA, 
at  Schenectady,  N.Y. ,  and  KGEI  at  San  Francisco. 


The  National  Broadcasting  Company's  stations  had  been 
using  35  kilowatts,  the  Columbia  Broadcasting  System’s  station  10 
kilowatts,  the  General  Electric  Company’s  Schenectady  station  25 
kilowatts  and  its  San  Francisco  station  20  kilowatts.  WRCA  oper¬ 
ates  on  9670  and  17780  kilocycles;  WMBI  on  6100  and  21630  kilo¬ 
cycles;  WCBX  on  6120,  6170,  9650,  11830,  15270,  17830  and  21570 
kilocycles;  WGEA  on  6190,  9550,  15330,  21500  and  21590  kilocycles, 
(6190  and  21590  frequencies  having  just  been  authorized),  and  KGEI 
on  6190,  9530  and  15330  kilocycles. 

Two  stations  were  previously  authorized  to  go  to  50  kilo¬ 
watts  -  Westinghouse  Electric  &  Manufacturing  Company's  Station  WPIT, 
which  is  moving  to  Hull,  Mass. ,  and  World  Wide  Broadcasting  Corp¬ 
oration'  s  WRUL,  at  Scituate,  Mass.  Two  stations  are  already  comply¬ 
ing  with  the  minimum  power  requirement  -  General  Electric  Company's 
Station  WGEO,  South  Schenectady,  N.Y.,  100  kilowatts,  and  Crosley 
Corporation's  Station  WLWO,  Mason,  Ohio,  50  kilowatts.  The  Crosley 
station  has  just  been  granted  special  experimental  authorization 
to  operate  a  1  KW  transmitter  on  frequency  6080  kilocycles,  for 
identification  only. 

XXXXXXXXX  -11- 


. 


q 


.  -J  j  T 

a  ' x ^ » 


8/9/40 


SEEBACH  ELECTED  TO  WOR  BOARD 


Julius  F.  Seebach,  Jr. ,  Vice-President  of  WOR  in  Charge 
of  Programs  and  Director  of  Program  Operations  for  the  station  since 
1935,  was  elected  a  member  of  the  Board  of  Directors  of  WOR,  it  was 
announced  by  Alfred  J.  McCosker,  President  of  WOR. 

Mr.  Seebach1 s  career  in  the  broadcasting  world  embraces 
a  period  of  14  years,  beginning  in  1925  when  he  assumed  a  post  as 
announcer  with  WOR,  rapidly  advancing  to  Manager  of  Evening  Pro¬ 
grams.  In  January,  1928,  he  joined  the  Columbia  Broadcasting  System 
as  Program  Production  Manager,  remaining  with  that  network  until 
1935  when  he  resigned  his  position  as  Director  of  all  program 
operations  to  return  to  WOR  in  a  similar  capacity. 

XXXXXXXXXX 

GEN.  DRUM  GETS  TWO-WAY  COMMUNICATION  CAR 

The  automobile  of  Lieut.  Gen.  Hugh  A.  Drum,  commanding 
the  First  Army,  is  being  equipped  with  two-way  ultra-high-frequency 
radio  telephone  equipment,  which  will  enable  General  Drum  to  talk 
from  his  moving  car  to  any  command  post  in  the  1500- square  mile  New 
York  up-state  maneuvre  area,  or  by  radio  and  then  by  telephone  land 
line  to  Army  posts  in  New  York  or  Washington. 

The  Army  also  is  trying  out  twenty-eight  of  the  new  fre¬ 
quency  modulation  radio  sets,  which  will  be  used  to  equip  vehicles 
in  the  three  corps  and  Army.  It  is  hoped  that  the  new  static-free 
sets  will  improve  Army  communications. 

XXXXXXXX 

McCOSKER  TO  VISIT  VALLEE  DURING  VACATION 

When  Alfred  J.  McCosker,  President  of  WOR  and  Chairman  of 
the  Board  of  the  Mutual  Broadcasting  System,  leaves  for  a  vacation 
Monday,  August  12,  he  will  visit  with  Rudy  Vallee  at  the  latter’s 
lodge  on  Lake  Kezar,  Maine.  He  will  also  take  a  motor  trip  through 
eastern  Canada  with  his  family,  and  will  be  away  for  three  weeks. 

XXXXXXXXXX 
COST  WLW  $16,000  TO  COVER  CONVENTIONS 

WLW’s  bill  for  special  coverage  on  the  Republican  and 
Democratic  national  conventions,  plus  refunds  to  advertisers  for 
cancelled  programs,  ran  around  $16,000.  The  biggest  item  was 
57,322.80  for  cancellation  of  NBC  network  and  local  accounts  during 
the  Republican  convention  in  Philadelphia..  Cost  of  having  a  six- 
man  staff  and  special  lines  for  that  session  was  $2,160. 

For  the  Democratic  convention  in  Chicago,  Crosley’s  50,000 
watter  refunded  $4,329.72  for  lost  time  on  commercials  and  the 
other  expense  was  $2,250. 

XXXXXXXXX 

-  12  - 


1’ 


//  Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


y 


W.T!!W!  00,  K 

LESAL  DEPARTMENT 

I  ^AbG  14  1940  “;  i 

*r  M  I '  '  .  P  J® 


INDEX  TO  ISSUE  OF  AUGUST  13,  1940 


U1I1A1  '  1  ‘  1  1 

4 

1940 

Fly . 

. 2 

War . 

. 3 

Netherlands  Supply  Cuban  Radio  Market  Despite  War . 3 

Broadcasters’  Idea  To  Terrorize,  Says  ASCAP . 4 

Thad  Brown  Hearings  C-o  Into  Second  Month . 6 

FCC  Meets  But  Not  Much  Doing . . 

Germans  Schedule  New  War  Superhet . 

Now  45,000,000  Sets  InU.S . 9 

Ever  Hear  Of  Radioville? . 9 

Trade  Notes . 10 

Station  Bars  Nazi  Broadcast . 11 

Willkie  Quick  On  The  Radio  Trigger . 12 


No.  1257 


-A 


co  co 


August  13,  1940. 


RADIO  USED  IMPROPERLY  POLITICALLY  FAILS,  SAYS  FLY 


Somewhat  overshadowed  by  the  bricks  the  Broadcasters  were 
shying  at  the  Composers  and  vice  versa  was  the  advice  Chairman  James 
Lawrence  Fly,  of  the  Federal  Communications  Commission,  gave  to  the 
National  Association  of  Broadcasters  at  San  Francisco  last  week. 

"The  broadcaster  owes  to  the  public  whose  facility  he 
occupies  -  and  to  the  democracy  he  is  bound  to  preserve  -  the  in¬ 
escapable  duty  of  full  and  fair  reporting,  balanced  treatment, 
and  honest  and  impartial  comment  on  all  facts  and  information  of 
public  concern;  and  adequate  coverage  on  all  public  issues  by  two- 
sided  discussions  and  equality  of  facility  and  representation", 
Chairman  Fly  declared  in  an  address,  the  full  text  of  which  has 
just  reached  Washington.  "The  responsibility  for  this  service  rests 
with  the  licensee.  It  is  inconceivable  that  control  of  the  radio 
as  an  instrument  of  freedom  should  be  delegated  to  any  special  in¬ 
terest  with  the  liberty  to  control  news,  information  and  comment 
services.  So  soon  as  this  service  is  rendered  on  behalf  of  a 
special  interest  or  political  party  the  radio  ceases  its  most 
important  function  in  the  public  interest. " 

Whereupon  Mr.  Fly  took  quite  a  wallop  at  the  newspapers, 

saying: 

"Broadcasting  is  all  the  more  important  in  places  where 
the  other  vital  source  of  public  information  and  opinion  has  on 
occasion  utilized  its  basic  freedom  to  promote  its  own  or  other 
special  interests  and  causes.  In  the  press  we  have  long  respected 
the  traditional  role  of  the  editorial,  however  much  we  might  deplore 
it  in  the  radio,  yet  one  cannot  but  view  with  concern  the  instances 
where  'News'  is  handled  in  such  manner  as  to  give  the  public  what 
the  newspaper  owner,  in  the  light  of  his  interest,  wants  the  public 
to  receive. 

"'News'  can  be  colored.  Headlines  can  be  slanted.  Spac¬ 
ing  can  be  contracted  or  expanded;  emphasis  supplied  or  extracted  by 
artful  placing;  important  events  or  responsible  views  can  be  over¬ 
looked,  yet  John  Doe  can  send  a  telegram  and  become  a  national 
character  overnight.  All  this  may  appear  momentarily  to  be  good 
business;  but  it  would  not  be  democracy.  It  would  overlook  the 
real  function  of  our  basic  freedom;  and  we  should  have  an  instru¬ 
ment  of  freedom  devouring  itself  and  the  democratic  structure  which 
nourished  it.  " 

Expressing  the  fullest  future  confidence  in  radio,  Mr. 

Fly  handed  broadcasting  this  bouquet: 


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"Let  me  not  be  deemed  to  criticize  the  American  system 
of  broadcasting.  I  am  here  to  praise  it.  These  are  trying  times 
and  I  have  thought  it  beneficial  frankly  to  discuss  the  great 
principle.  Frankness  is  essential  in  these  discussions,  and  those 
which  I  hope  will  follow  on  other  problems  of  mutual  concern.  You 
will  know  that  I  am  proud  to  observe  the  great  public  service  ren¬ 
dered  by  the  broadcasters  in  the  midst  of  a  tremendous  conflict. 

"Their  general  news,  informational  and  commenting  ser¬ 
vice  have  been  of  a  high  order.  News  has  been  searched  out  and 
brought  to  us  from  the  four  corners  of  the  earth.  The  networks 
have  rendered  particularly  valuable  public  service  in  this  regard. 
And  so  have  the  many  broadcasters  moved  across  a  vast  field  of 
public  service  with  creditable  results.  I  face  the  future  with 
confidence  in  radio  and  believing  in  it  as  a  great  and  permanent 
institution.  There  can  be  no  real  fear  that,  conscious  of  your 
great  privilege  and  its  attendant  responsibility,  you  would  ever 
let  the  torch  fall.  " 

XXXXXXXXX 


NETHERLANDS  SUPPLY  CUBAN  RADIO  MARKET  DESPITE  WAR 


Imports  of  sets  to  Cuba  from  the  Netherlands  continued 
to  be  received,  according  to  the  American  Consulate  General  in 
Havana,  during  recent  weeks,  these  shipments  arriving  from  Mexico 
and  the  Netherlands  West  Indies,  in  which  areas  considerable  stocks 
of  sets  had  apparently  been  maintained  in  anticipation  of  diffi¬ 
culties  that  might  arise  in  receiving  shipments  from  the  Netherlands. 

Collections  are  not  being  received  as  satisfactorily 
as  was  the  case  last  year,  or  earlier  this  year  and  more  care  is 
being  used  in  making  installment  sales. 

Imports  of  radio  sets  by  Cuba  during  the  first  6  months 
of  1940,  about  30  percent  over  the  year  before,  numbered  11,106 
units  of  all  makes  valued  at  $186,583,  as  compared  with  8,310 
units  valued  at  $158,809  imported  in  the  corresponding  period  of 
1939. 

Entries  of  Netherlands  sets  during  the  first  half  of  this 
year  totaled  1,222  units  valued  at  $17,140  as  compared  with  748 
sets  valued  at  $13,099  received  during  the  first  6  months  of  last 
year. 

XXXXXXXXX 

Samuel  R.  Zack,  Director  of  WMCA’s  "Labor  Arbitration" 
program  is  one  of  New  York’s  first  arbitrators  having  settled 
labor  disputes  in  Brooklyn  back  in  1917  before  the  existence  of 
any  labor  relations  legislation.  At  that  time  he  was  Sales  Manager 
for  a  large  manufacturing  concern  and  his  interest  in  arbitration 
developed  as  a  result  of  a  tremendous  turn-over  in  labor  due  to 
misunderstandings. 

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BROADCASTERS'  IDEA  TO  TERRORIZE,  SAYS  ASCAP 


Whether  it  will  be  a  NAB  musical  blackout  or  an  ASCAP 
blitzkreig  remains  to  be  seen  but  in  a  sizzling  White  Paper  just 
delivered  to  the  advertisers  of  the  country  signed  by  Gene  Buck  - 
but  to  the  eye  of  this  writer  also  showing  signs  of  the  fine 
Italian  hand  of  Claude  Mills  -  the  object  of  the  whole  thing  is 
said  to  be  an  attempt  to  throw  a  terrible  scare  into  the  Composers. 

"May  we  point  out  that  Broadcast  Music,  Inc. ,  which  the 
networks  announce  will  be  made  use  of  as  their  principal  instru¬ 
mentality  through  which  an  adequate  supply  of  music  will  be  made 
available  after  the  announced  boycott  of  ASCAP  music  is  put  into 
effect,  is  the  wholly  owned  creature  of  the  broadcasters,  and  that 
a  majority  of  its  stock  is  owned  by  the  two  networks",  Mr.  Buck 
says  in  addressing  the  advertisers  who  pay  the  radio  bills.  "It 
purposes,  according  to  its  public  announcements,  to  create  between 
now  and  January  first,  from  the  offerings  of  amateur  song  writers 
and  special  arrangements  which  it  will  make  of  music  in  the  public 
domain,  a  repertoire  sufficient  for  the  needs  of  broadcasting,  or 
at  least  to  make  broadcasting  'less  dependent  upon  ASCAP  music'. 

"Something  less  than  a  majority  of  the  broadcasters  have 
committed  themselves  to  an  investment  of  something  over  a  million 
dollars  in  this  activity,  and  they  are  presently  endeavoring  to 
interest  the  broadcasters  in  investing  something  like  four  million 
dollars  in  a  group  of  publishers  which  have  heretofore  been  members 
of  ASCAP,  so  that  their  respective  catalogs  may  be  added  to  the 
BMI  repertoire.  Of  course,  the  whole  idea  is  to  terrorize  and 
intimidate  ASCAP,  but  if  it  is  of  any  comfort  or  usefulness  to 
those  who  are  sponsoring  this  movement  to  know  that  it  entirely 
fails  in  the  slightest  degree  to  accomplish  that  objective,  we 
would  like  to  make  that  statement  here  and  now.  We  wish  the  BMI 
well.  We  earnestly  hope  that  it  discovers  many  hundreds,  even 
thousands,  of  desirable  songs,  and  we  are  indeed  glad  that  there 
has  been  created  a  responsible  source  to  which  the  amateur  writers 
may  go  with  their  material  and  hope  to  have  it  published.  " 

Taking  a  vicious  lunge  at  the  chains,  Mr.  Buck  declares: 

"ASCAP  is  not  in  the  slightest  concerned  at  the  bombastic 
edicts  being  presently  issued  by  the  two  chains,  in  which  it  is 
very  noticeable  that  the  overwhelming  majority  of  independent  and 
individual  stations  do  not  join.  It  is  apparent  that  the  chains, 
drunk  with  power,  assuming  to  speak  for  the  independents,  intend 
to  dictate  what  copy  an  agency  will  use  in  the  space  it  buys  on 
the  blank  white  pages  of  radio . 

"We  are  amazed  at  the  manifestation  of  a  degree  of 
censorious  conceit  such  as  would  prompt  these  two  great  and  over¬ 
powering  radio  groups  to  believe  for  a  moment  that  they  are  going 
to  tell  Damrosch,  Whiteman,  Waring,  Lombardo,  or  Black  what  music 
to  play.  By  what  process  of  loose  reasoning  do  these  radio  rajahs 
deduce  that  they  will  tell  Lucky  Strike,  Cities  Service,  Maxwell 


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8/13/40 


House  Coffee,  or  their  advertising  agencies,  who  have  purchased 
'time  on  the  air',  of  what  musical  content  their  programs  shall 
be  made?  .... 

"Of  course,  it  is  all  an  absurdity.  .  .  .  Nothing  of  the 
sort  is  going  to  happen.  ASCAP  music  will  be  'on  the  air'  just 
as  frequently  as  it  is  now. 

"In  the  meantime,  great  harm  may  be  done.  It  will  be 
interesting  to  observe  the  development  of  this  controversy.  Assum¬ 
ing  the  Government  is  equally  as  interested  in  violations  of  the 
law  by  others  as  if  alleged  to  be  by  ASCAP,  what  will  it  think  of 
a  conspiracy  by  the  broadcasters,  advertising  agencies,  and  per¬ 
forming  artists,  in  a  concerted  action  to  boycott  the  music  of 
the  ASCAP  repertoire?  We  think  the  Government  may  be  intensely 
interested  to  note  this  effort  to  prohibit  the  performance  of  such 
music  by  corporations  which  own  booking  offices,  phonograph  record 
factories,  and  motion  picture  producing  units. " 

Prophesying  huge  damage  suits  if  the  Broadcasters  win, 

Mr.  Buck  concludes: 

"If  the  effort  should  by  some  fantastic  process  become 
successful,  we  imagine  damages  will  lie  against  those  responsible 
in  sums  that  will  far  transcend  any  which  they  ever  would  have 
paid  for  performing  rights  fees.  Let  every  thinking  man  in  a  posi¬ 
tion  of  responsibility  carefully  consider  the  possible  ultimate 
result  of  a  complete  and  unqualified  success  if  the  orders  of  NBC 
and  CBS  are  carried  out  by  artists,  advertising  agencies,  etc. 

"Is  it  to  be  thought  for  a  moment  that  by  such  dicta 
these  two  chain  operators  will  at  one  stroke  destroy  the  intellect¬ 
ual  integrity  of  orchestra  leaders  and  singers;  render  valueless 
music  libraries  owned  by  these  leaders  in  which  there  are  millions 
invested;  nullify  the  value  of  the  stocks  of  phonograph  records 
and  electrical  transcriptions  stored  by  the  hundreds  of  thousands 
of  dollars  worth  in  the  racks  of  the  broadcasting  stations  through¬ 
out  the  country? . 

"We  invite  any  advertising  agency  representative,  and 
all  performing  artists  and  orchestra  leaders  to  bring  to  our 
attention  each  and  every  instance  in  which  any  pressure  whatever 
is  brought  to  bear  upon  them  that  might  deprive  them  of  complete 
freedom  to  choose,  according  to  their  artistic  or  commercial  judg¬ 
ment,  the  music  best  suited  to  their  particular  use  or  purpose. 

All  information  thus  received  will  be  held  in  strict  and  inviolable 
confidence. 

X  X  X  X  X  X  X  X  X  X 

On  Sunday,  August  11,  Station  KWOS,  Jefferson  City,  Mo. , 
joined  the  coast-to-coast  network  as  the  143rd  Mutual  network 
full  time  affiliate. 

XXXXXXXXXX 

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8/13/40 


THAD  BROWN  HEARINGS  GO  INTO  SECOND  MONTH 


Still  overshadowed  by  the  alleged  RCA  bribery  charges 
in  connection  with  the  attempt  to  secure  a  Federal  anti-trust 
case  continuance  back  in  1932  the  inquiry  by  the  Senate  Inter¬ 
state  Commerce  Committee  into  the  qualifications  of  Col.  Thad  H. 
Brown  to  succeed  himself  as  a  member  of  the  Federal  Communications 
Commission  is  now  going  into  its  second  month.  At  the  resumption 
of  the  hearings  Tuesday  as  was  the  case  several  days  last  week, 
Colonel  Brown  himself  was  not  even  present. 

David  Sarnoff,  President  of  the  Radio  Corooration  of 
America  was  recalled  as  a  witness  and  was  accompanied  by  Niles 
Trammell,  new  President  of  the  National  Broadcasting  Company.  In 
the  absence  of  Senator  Wheeler  of  Montana,  Chairman  of  the 
Committee,  Senator  Homer  T.  Bone,  of  Washington,  presided. 

As  usual  Senator  Charles  W.  Tobey  (R.  ),  of  New  Hampshire, 
who  has  been  the  moving  figure  in  conducting  the  inquiry  was 
assisted  by  his  son  Charles  W.  Tobey,  Jr. ,  a  graduate  of  Dartmouth 
College  and  George  Washington  Universities.  Roger  Whiteford,  who 
had  acted  as  RCA  counsel  in  1932,  and  a  friend  of  Senator  Moses, 
also  mentioned  in  the  case,  told  Senator  Tobey  that  he  had  had  a 
telephone  conversation  with  former  Senator  George  H.  Moses  (R.  ), 
of  New  Hampshire,  last  Monday  night. 

''Is  Senator  Moses  coming  down  here  to  testify  before 
us?"  Senator  Tobey  asked. 

"That  was  what  I  advised  him  to  do.  I  told  him  that 
E.  0.  Keller,  a  so-called  contact  man,  had  accused  him  of  being 
paid  $5,000  by  the  RCA  in  connection  with  the  court  postponement. " 

"I  didn’t  get  anything  out  of  that  case",  Mr.  Whiteford 
said  Moses  replied.  "Anyway,  I  couldn't  come  down  to  Washington 
before  Thursday.  " 

It  was  said  that  if  Senator  Moses  did  not  come  voluntar¬ 
ily  that  he  might  be  summoned. 

"There  were  all  kinds  of  stories  that  I  had  paid  Senator 
Moses  money  in  this  case  in  behalf  of  RCA",  Mr.  Whiteford  declared, 
"but  they  were  not  true.  I  never  paid  Senator  Moses  any  money  in 
my  life.  " 

Later  when  asked  to  produce  three  groups  of  bank  check 
stub-books  pertinent  to  the  case  in  1932,  Mr.  Whiteford  said  they 
were  missing,  that  he  could  not  help  but  believe  "they  had  been 
taken  out  deliberately". 

"I  should  infer  from  that  you  think  they  were  stolen", 
Senator  Tobey  echoed.  Also  Mr.  Whiteford  could  not  produce  a 
check  for  $2,500  payable  to  Mr.  A1  Hyslop,  another  friend  of 


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Senator  Moses  In  New  Hampshire.  The  charge  had  been  made  that 
this  money  was  really  paid  to  Senator  Moses.  Mr.  "White ford  said 
that  it  was  merely  a  loan  to  Mr.  Hyslop.  Mr.  White  ford,  when  it 
was  charged  that  something  like  $30,000  had  been  spent  by  RCA  in 
its  attempt  to  secure  a  postponement  of  the  anti- trust  suit, 
ejaculated:  "If  that  is  true,  I  think  it  was  a  lousy  waste  of 

money.  " 


"Did  you  hear  that  Senator  Moses  needed  money  for  his 
campaign  fund?"  Senator  Tobey  inquired  of  L.  P.  Handy,  a  Washing¬ 
ton  realtor,  who  had  been  one  of  the  go-betweens. 

"No,  but  I  heard  that  Senator  Hastings  did",  was  the 
reply.  The  law  firm  of  then  Senator  Daviel  0.  Hastings,  of 
Delaware,  had  been  retained  by  the  RCA  in  the  case.  Mr.  Handy 
said  when  Mr.  Samoff  and  party  arrived  in  Concord,  N.H.  ,  to  see 
Senator  Moses,  Mr.  Hyslop  remarked:  "It  looks  like  a  football 
team  coming  up  here. "  To  which  Senator  Tobey  retorted,  "Who  was 
calling  the  signals?" 

"How  about  your  threats  to  the  RCA  for  money  from  the 
three  real  estate  men  for  their  part  in  it  -  the  threats  that 
caused  Mr.  Whiteford  to  read  the  "blackmail  statute"  to  them, 
Senator  Tobey  asked. 

"I  don't  believe  he  ever  read  it." 

"Whiteford  testified  he  did.  " 

"The  blackmail  statute  was  never  read  in  my  presence.  " 

"Didn't  you  say  if  you  didn't  get  your  money  you  were 
going  to  kick  this  case  wide  open?"  Tobey  asked. 

"No",Handy  replied. 

"Didn't  you  threaten  suit  if  the  RCA  didn't  pay?" 

"I  certainly  did.  " 

After  a  cross-examination  of  the  witness  by  Manton  Davis, 
RCA  counsel,  Senator  Tobey  declared  with  some  heat. 

"Your  legal  representative  met  these  people.  He  said 
it  was  worth  $50,000  to  get  a  continuance  of  the  court  case.  Your 
legal  representative  asked  them  to  contact  somebody  to  get  the 
job  done  and  the  job  was  done.  " 

When  Senator  Wallace  White  (R.  ),  of  Maine,  a  member  of 
the  investigating  committee,  was  asked  when  he  thought  the  inquiry 
would  end.  He  replied,  throwing  up  his  hands: 

"God  only  knows.'  " 

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FCC  MEETS  BUT  NOT  MUCH  DOING 


For  the  first  time  in  several  moons,  there  will  be  a 
meeting  of  the  full  Federal  Communications  Commission  tomorrow. 
Recently,  because  of  Summer  vacations  and  other  reasons,  the  work 
of  the  Commission  has  been  carried  on  by  an  Administrative  Com¬ 
mittee,  usually  any  two  or  three  members  who  hapoened  to  be  in 
town. 


Because  of  the  fact  that  Chairman  James  L.  Fly  has  not 
yet  returned  from  San  Francisco,  Commissioner  T.A.M.  Craven  will 
preside  at  tomorrow’ s  meeting.  Others  to  be  present  are  Commis¬ 
sioners  Thompson,  Walker  and  Payne.  The  familiar  face  of  Thad 
Brown  was  missing,  due  to  the  fact  that  he  has  not  been  confirmed 
by  the  Senate. 

It  was  said  nothing  of  particular  importance  was  schedul¬ 
ed  to  come  before  the  Commission  at  this  mid-Summer  meeting  and 
only  routine  business  would  be  transacted. 

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GERMANS  SCHEDULE  NEW  WAR  SUPERHET 


The  far-reaching  structural  change  in  the  German  radio 
industry  necessitated  by  war  conditions  has  been  primarily  toward 
the  manufacture  of  communication  equipment  for  the  armed  forces. 

By  necessity  the  output  of  radios  for  civilian  purposes  other  than 
for  export  has  been  reduced  to  a  minimum  since  the  beginning  of 
hostilities  and  has  since  consisted  largely  of  a  mere  assembly  of 
part  stocks.  A  departure  from  this  policy  was  the  manufacture  of 
an  unspecified  but  reputedly  considerably  number  of  German  midget 
radios  at  the  beginning  of  1940  (Deutsche  Kleinempfaenger) .  Now, 
according  to  reports  from  the  German  Electrical  Manufacturers’ 
Association,  reprinted  by  the  U.  S.  Commerce  Department,  the  manu¬ 
facture  is  contemplated  of  a  typical  wartime  high  fidelity  receiv¬ 
ing  set  which  will  contain  only  an  indispensable  minimum  of  "short" 
raw  materials.  In  this  connection,  it  is  noticeable  that  for 
several  months  the  radio  trade  as  a  rule  has  been  selling  new 
replacement  tubes  only  against  the  surrender  of  the  old  tubes. 

The  number  of  licensed  radio  receiving  sets  in  Greater 
Germany  (inclusive  of  Danzig,  Memelland  and  the  incorporated 
Eastern  Provinces  but  exclusive  of  the  Protectorate  of  Bohemia 
and  Moravia  and  of  the  occupied  territories)  amounted  to  14,327,918 
on  May  1,  1940,  an  increase  of  176,262  over  the  preceding  month, 
the  American  Embassy  in  Berlin  reports.  This  number  includes 
1,004,277  receiving  sets  which  are  exempted  from  paying  the  license 
fee  for  social  reasons  (shut-ins,  disabled  veterans,  etc.).  The 
monthly  license  fee  for  radio  sets  in  the  new  Eastern  Provinces 
amounts  to  RM  1.20  and  to  RM  2.00  in  the  other  districts  of  the 
Reich. 

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NOW  45,000,000  SETS  IN  U.3. 


There  are  now  45,000,000  radio  sets  in  this  country, 
according  to  Neville  Miller,  President  of  the  National  Association 
of  Broadcasters.  Addressing  the  18th  annual  convention  of  the 
NAB  in  San  Francisco,  Mr.  Miller  said  last  year  had  been  radio’s 
greatest,  with  sales  of  over  9,000,000  radio  sets.  ’'With  less  than 
1$  of  the  world's  population,  our  country  has  nearly  half  of  all 
broadcasting  stations  and  receiving  sets'',  he  stated  in  his 
annual  report. 

Ed  Kirby,  NAB  Public  Relations  Director,  referred  to  "a 
growingly  mature  and  better  understanding  between  press  and  radio" 
that  has  arisen  since  the  Munich  crisis. 

"It  can  be  successfully  demonstrated  we  believe",  said 
Mr.  Kirby,  "that  the  greater  amount  of  coverage  of  important  spot 
news  by  radio,  the  greater  number  of  newspapers  sold,  and,  con¬ 
versely,  as  more  newspapers  are  sold  as  a  result  of  spot  news 
developments,  the  more  radio  news  listening  results.  We  believe 
that  NAB  has  eliminated  an  erroneous  concept  in  some  sections  of 
the  newspaper  world  which  felt  that  radio  wished  to  live  at  the 
expense  of  the  press.  Neither  press  nor  radio  can  be  sold  at  the 
expense  of  the  other  for  long.  Each  has  its  field  of  service.  " 

"Mr.  Kirby' s  statement  is  not  news  to  circulation  man¬ 
agers  who  have  dealt  with  the  problem  of  newspaper- radio  competi¬ 
tion  for  the  past  decade",  Editor  &  Publisher  comments.  "The 
important  point,  it  would  seem,  is  that  for  the  first  time  there 
appears  to  be  a  better  understanding  between  the  press  and  radio 
as  to  their  respective  functions  in  the  field  of  news  dissemination. 

"As  pointed  out  in  our  recent  roundup  on  increased  news¬ 
paper  sales  as  result  of  the  war,  radio  has  not  been  a  serious 
handicap  to  newspaper  circulations.  True,  radio  has  supplanted 
the  newspaper  extra,  but  the  press  continues  to  enjoy  an  increas¬ 
ing  readership  as  the  public  looks  to  radio  for  the  news  flash 
and  to  the  newspaper  for  the  complete  story. " 

XXXXXXXXX 
EVER  HEAR  OF  RADIO VI LLE ? 

Radio,  Va.  ,  just  outside  of  Washington,  adjoining 
Arlington,  where  are  located  the  great  Army  and  Navy  broadcasting 
stations,  has  been  on  the  map  many  years.  Now,  according  to  an 
announcement  by  the  Federal  Communications  Commission,  a  composite 
transmitter  has  just  been  installed  at  the  point-to-point  telephone 
station  located  at  Radioville,  Alaska. 

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TRADE  NOTES 


A  new  GL-869-B  mercury  vapor  rectifier  employing  a 
horizontal  mesh  filament  has  been  introduced  by  the  General 
Electric  Company.  The  filament  structure  of  the  new  tube  makes 
it  possible  to  double  the  average  anode  current  of  previous  869' s 
when  filaments  are  connected  in  quadradure. 


Thomas  D.  Connolly,  CBS  Sales  Promotion  executive,  has 
been  appointed  to  the  newly  created  post  of  "Manager  of  CBS  Mer¬ 
chandising  Service”. 


The  Zenith  Radio  Corp.  has  been  granted  a  construction 
permit  for  a  new  portable-mobile  special  relay  broadcast  for  the 
area  of  Chicago;  156750,  158400,  159300,  161100  kilocycles;  100 
watts;  to  be  used  in  connection  with  applicant’s  high  frequency 
broadcast  Station  W9XER  in  Chicago. 


"And  with  lotions  of  listeners"  -  a  booklet  containing 
a  study  of  the  pulling  power  of  the  Jergens- Walter  Winchell  pro¬ 
gram  has  just  been  issued  by  Keith  Kiggins,  Sales  Manager  of  the 
NBC  Blue  Network. 


A  new  1000  kc.  crystal  unit,  Type  G18A,  for  use  in 
amateur  frequency  standards  has  been  announced  by  General  Electric 
It  has  a  temperature  range  of  +10  degrees  to  **45  degrees  centi¬ 
grade  and  a  temperature  coefficient  over  that  range  of  .0001  per¬ 
cent  per  degree  C. 


Press  Wireless,  Inc.,  Hicksville,  N.Y. ,  has  been  granted 
extension  of  special  temporary  authority  by  the  Federal  Communica¬ 
tions  Commission  to  point-to-point  radiotelegraph  station  in  the 
Fixed  Public  Press  Service,  Hicksville,  to  communicate  with  the 
Deutsche  Reichspost,  Berlin,  Germany,  until  further  order  of  the 
Commission,  but  in  no  event  beyond  November  9,  1940,  using  its 
regularlylicensed  frequencies,  power  and  emission. 


Station  KGLU,  Safford,  Arizona,  will  become  affiliated 
with  the  National  Broadcasting  Company,  September  1,  as  a  bonus 
outlet  for  advertisers  using  Station  KTAR,  Phoenix,  Arizona. 


Mrs.  Laura  Hobson  ha.s  been  appointed  to  the  newly- 
created  post  of  "Copy  Chief"  of  the  CBS  Sales  Promotion  Department 


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Federal  Judge  William  H.  Holly  entered  a.  final  decree 
in  Chicago  for  the  reorganization  of  the  Majestic  Radio  and  Tele¬ 
vision  Co.,  and  discharged  the  trustee  in  bankruptcy,  Claude  A. 
Roth.  Walter  Glen  Scott,  of  Newark,  N.J.  ,  a  former  member  of  the 
Board  of  Directors  of  the  dissolved  concern,  will  be  the  Operating 
Manager,  and  Elmer  C.  Upton,  of  Chicago,  former  secretary  of  the 
Balaban  and  Katz  Theater  Corporation,  will  become  Secretary- 
Treasurer. 


Columbia  Broadcasting  System  and  Subsidiaries  for  the 
six  months  to  June  89  showed  a  net  income  after  all  charges  of 
$2,932,976,  equivalent  to  $1.72  a  share  on  1,716,277  common  shares, 
compared  with  $2,651,013,  or  $1.59  a  share  in  the  corre sponding 
period  of  1939.  Gross  revenues,  less  discounts,  returns  and 
allowances,  were  $17,689,376,  against  $15,076,554. 


Returning  by  plane  from  the  San  Francisco  Broadcasters’ 
Convention  where  he  was  a  speaker,  Stephen  T.  Early,  Secretary  to 
President  Roosevelt,  accompanied  by  Harry  C.  Butcher,  Columbia 
Vice-President  in  Washington,  and  Louis  Ruppel,  CBS  publicity  man 
in  New  York,  stopped  off  enroute  at  Seattle  to  visit  President 
Roosevelt's  son-in-law  and  daughter,  Mr.  and  Mrs.  John  Boettiger. 

xxxxxxxxxx 


STATION  BARS  NAZI  BROADCAST 


Station  WHIP,  at  Hammond,  Ind.  ,  has  notified  the  German- 
American  National  Alliance  that  hereafter  its  German-hour  program 
will  not  be  accepted  for  broadcasts.  The  decision,  it  was  annouc- 
ed,  was  made  by  the  station's  Directors  following  what  wa.s  said  to 
have  been  a  virtual  order  by  theAlliance  that  all  members  must 
listen  to  the  broadcast  of  Colonel  Lindbergh. 

"The  primary  reason  for  using  any  foreign  language  on 
the  station  has  been  to  facilitate  better  understanding  of  American 
institutions",  said  Dr.  George  F.  Courrier,  President  of  the  Broad¬ 
casting  corporation. 

"It  is  obvious  that  the  German- American  National  Alliance 
represents  a  minority  group  of  the  American  populace.  Although  it 
is  important  to  America  to  allow  minorities  to  plead  their  cases  at 
the  bar  of  public  opinion,  and  that  no  essential  right  shall  be 
denied  them,  radio  broadcasting  cannot  be  regarded  as  an  essential 
right, 

"Radio  broadcasts  should  be  used  to  solve  problems  rather 
than.to  create  them.  Any  broadcast  that  engenders  social  conflicts 
or  kindles  hatreds  cannot  be  construed  as  serving  the  nublic  in¬ 
terests.  " 


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8/13/40 


WIL1KIE  QUICK  ON  THE  RADIO  TRIGGER 


In  demanding  equal  time  with  President  Roosevelt  and 
talking  “turkey"  with  Elliott  Roosevelt,  who  happened  to  be  pass¬ 
ing  through  Colorado  Springs,  Wendell  Willkie  proves  himself 
radio  conscious  and  ready  to  fight  for  his  rights  on  the  air  as 
elsewhere. 


Elliott  Roosevelt  told  reporters  that  he  end  Willkie 
had  talked  about  the  recent  meeting  in  San  Francisco  of  the 
National  Association  of  Broadcasters,  at  which  the  Republican 
National  Committee  requested  radio  time  equivalent  to  that  given 
President  Roosevelt  in  his  fireside  chats. 

Young  Roosevelt  advised  Willkie  that  in  view  of  the  Hatch 
law  restricting  campaign  expenditures  the  radio  should  follow 
newspapers  in  giving  free  expression  to  candidates'  views. 

"If  Mr.  Willkie  comes  to  Texas",  said  Elliott,  "I  will 
see  that  the  Texas  network  gives  him  as  much  time  as  the  Republican 
Committee  desires.  " 

Mark  Sullivan  in  the  Washington  Post  calls  attention  to 
the  importance  of  Mr.  Willkie  making  good  with  the  people  in  his 
acceptance  speech  next  Saturday,  especially  the  radio  part  of  it. 

"Former  Governor  Landon' s  acceptance  speech  did  not  draw 
the  country  into  the  grip  of  his  personality",  Mr.  Sullivan  writes. 
"For  one  reason,  his  personality  was  slight.  For  another,  Mr. 

Landon  s  radio  voice  and  manner  did  not  have  the  quality  of 
engagingness.  Mr.  Landon' s  radio  effectiveness  improved  somewhat 
as  he  went  on,  but  never  became  distinguished.  Unfortunately, 
as  his  radio  technique  improved,  the  substance  of  his  campaign 
speeches  went  the  other  way.  So  long  as  Mr.  Landon' s  speeches 
dealt  with  subjects  within  which  he  had  information  and  convictions 
they  were  good.  But  his  experience  had  not  given  him  the  scope 
to  deal  authoritatively  with  all  the  issues  of  a  presidential 
campaign  under  modern  conditions. 

"Nothing  of  that  kind  need  the  Republicans  fear  about 
Mr.  Willkie.  He  has  ideas  and  convictions,  he  has  an  extremely 
well-read  mind  and  an  accurately  functioning  one.  He  is  a  natural 
debater  -  he  loves  it.  For  expression,  for  putting  his  ideas 
into  effective  words,  he  has  a  real  gift.  Whether  he  happens  to 
have  radio  personality  is  within  the  discretion  of  the  gods.  It 
is  very  important  in  modern  politics.  My  notion  is  that  Mr. 

Willkie  has  it;  I  just  cannot  imagine  that  immense  magnetism,  that 
direct  and  simple  heartiness,  failing  to  project  itself  along  the 
air  waves.  " 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


> 

\ 


y  y 


INDEX  TO  ISSUE  OF  AUGUST  16,  1940 


LEGAL  DEPARTMENT 


TV 


BlGslUWi 

I  ™  1 .  1940.) 

f  HI 

4 


-P 


Sizzling  Senate  Session  Marks  Sarnoff  Recall . 2 

FCC  Analyzes  Program  Expenses . 4 

Columbia  Seeks  New  L.A.  Television  Station . 4 

Congressman  Attacks  Winchell  Broadcasts . 5 

Must  Give  Fixed  Point-to  Point  Call  Letters . 6 

Senator  Shows  Further  Interest  in  Pershing  Broadcast . 7 

Willkie  Appealed  to  in  RCA  Case . 8 

San  Francisco  Schools  Would  Try  FM . 9 

Control  Regulations  for  British  Radio  Tubes . 10 

Salvador  Terminal  Amendment  Suspended . 10 

Trade  Notes . 11 

New  Frequency  Monitors  Approved . 12 

NA3  Prez  Upped  to  Probably  $40,000 . 12 


No.  1258 


i 

:  . 

i 


*  *  *  > 


August  17,  1940. 


SIZZLING  SENATE  SESSION  MARKS  SARNOFF  RECALL 


Despite  the  air-cooled  hearing  room,  there  seemed  to  he 
a  rise  in  temperature  when  David  Sarnoff,  President  of  the  Radio 
Corporation  of  America,  and  Senator  Charles  W.  Tobey,  of  New 
Hampshire,  both  hard  hitters,  again  exchanged  blows  in  a  Senate 
inquiry  which  old-timers  may  remember  started  a  couple  of  months 
ago  to  determine  whether  or  not  Thad  Brown  had  been  derelict  in 
his  duties  as  a  member  of  the  Federal  Communications  Commission 
and  whether  or  not  he  should  be  given  another  term  of  7  years  at 
$10,000  a  year.  For  more  than  a  week,  Thad' s  case  has  been  for-  , 
gotten  in  a  searching  investigation  that  Senator  Tobey,  frequently 
aided  by  Senator  Burton  K.  Wheeler,  of  Montana  and  Senator  Clyde 
Reed  of  Kansas,  has  been  making  into  charges  that  the  RCA  eight 
years  ago  bribed  two  United  States  Senators  -  Moses  of  New  Hamp¬ 
shire  and  Hastings  of  Delaware  -  and  Harry  C.  Mahaffy,  Jr.,  Clerk 
of  the  Federal  District  Court  at  Wilmington  to  get  a  Government 
anti-trust  suit  postponed. 

In  the  present  scrimmage  in  the  Senate,  party  lines  seem 
to  have  been  forgotten.  Thad  Brown,  whose  reappointment  is  being 
fought,  is  a  Republican.  Senators  Tobey  and  Reed,  who  have  been 
so  vigorously  hammering  Brown  and  later  Columbia  and  the  RCA,  are 
Republicans.  Senator  Wheeler,  backing  them  up  is  a  Democrat;  Moses 
and  Hastings,  both  now  out  of  the  Senate,  are  Republicans. 

The  recall  to  Washington  of  Mr.  Sarnoff,  who  had  pre¬ 
viously  testified  at  length,  came  as  a  surprise.  With  him  and  an 
interested  observer  of  what  was  very  likely  one  of  his  first 
Senate  investigations  was  Niles  Trammell,  newly  elected  President 
of  the  National  Broadcasting  Company.  Mr.  Trammell,  however,  in 
the  words  of  an  old  song  "Went  way  back  and  sat  down”.  So  did 
Mr.  Sarnoff  who  was  kept  waiting  throughout  the  long  morning 
session  and  not  called  to  testify  until  2:30  o’clock  in  the  after¬ 
noon. 

When  he  finally  took  the  witness  stand,  Mr.  Sarnoff 
said  that  he  had  tried  to  be  frank  and  honest  with  the  Committee. 

He  told  of  his  embarrassment  at  the  RCA' s  lawyer,  Robert  O’ Callaghan 
having  enlisted  the  aid  of  three  Washington  real  estate  brokers  in 
the  anti-trust  case  postponement. 


"I  was  made  president  of  the  RCA  the  day  the  depression 
began  and  the  day  the  Government  suit  began.  The  RCA  was  just  a 
shell.  I  am  proud  of  my  accomplishment  and  what  the  company  is 
today",  Mr.  Sarnoff  said.  ”If  we  had  lost  the  anti-trust  suit, 
the  RCA  would  not  only  have  been  bankrupt  but  would  have  had  to 
go  out  of  business.  Then  at  the  most  discouraging  time  along 
comes  O’ Callaghan  with  his  bright  suggestion,  which  turned  out  to 


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8/16/40 


be  anything  but  bright.  I  reprimanded  him  for  bringing  all  these 
people  into  it  and  said,  ‘These  are  your  skunks  -  you  skin  them] 

"You  abhor  the  tactics  of  O' Callaghan",  Senator  Tobey 
shot  back,  "yet  in  the  face  of  that  you  retained  O' Callaghan 
until  this  year  renewing  his  contract  at  $10,000  a  year.  " 

"Do  you  own  50,000  shares  of  RCA  stock? 

"You  flatter  me  -  I  only  own  5,000  shares." 

"Is  it  true  that  you  have  been  disposing  of  your  stock 
in  the  RCA?" 


"No,  I  have  increased  my  stock  in  the  past  ten  years." 

The  charges  of  Mr.  Sarnoff's  large  stockholdings  and 
that  he  was  disposing  of  his  stock  appeared  in  a  long  attack  on 
the  RCA,  which  Senator  Tobey  then  read,  prepared  by  a  business 
analyst  J.  Austin  Smith.  The  RCA  later  hired  Smith. 

"The  more  Smith  damned  you,  the  more  he  castigated  you, 
blacklisted  you,  and  ripped  you  up  the  back,  the  more  anxious  you 
were  to  have  him  in  the  folds  of  the  company.  It  doesn’t  make 
sense,  does  it?"  Senator  Tobey  asked. 

"Isn’t  it  damned  funny",  Senator  Tobey  exploded,  "after 
Smith  had  dynamited  you  that  you  took  him  into  your  company?  Why 
didn't  you  say,  'You  rascal,  put  up  or  shut  up’?  Why  didn't  you 
sue  him  for  these  attacks.  Why  does  big  business  make  a  fool  of 
itself  when  someone  sticks  a  knife  in  its  fifth  rib  and  then 
instead  of  fighting  sa3>'s  ’Come  into  our  happy  family'?" 

"A  corporation  official  must  relieve  himself  of  dealing 
with  this  individual  or  that  individual",  Mr.  Sarnoff  answered. 

"You  refuse  to  stigmatize  such  a  rascal  but  then  by 
George  you  take  him  into  the  company. " 

"Smith  said  you  got  a  "600,000  bonus",  Senator  Tobey 

stated. 


"That  is  not  only  a  lie  but  it  is  crazy. " 

"You  say  it  is  a  lie,  then  Manton  Davis,  your  lawyer, 
hires  him. " 

"I  am  inclined  to  say  that  was  a  mistake." 

"Doesn't  the  Scripture  say  'Avoid  any  appearance  of 
evil?*  "  Senator  Tobey  queried. 

"Yes",  Mr.  Sarnoff  retorted  getting  a' laugh  from  the 
Senators  and  audience,  "but  many  appearances  of  evil  have  virtue 
underneath.  " 


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To  which  Mr.  Samoff  added:  "One  of  the  values  of  this 
hearing  has  been  to  make  us  wiser. " 

"I  am  delighted  if  that  has  been  the  result",  Senator 
Tobey  concluded. 

XXXXXXXX 


FCC  ANALYZES  PROGRAM  EXPENSES 


Two  statistical  statements  compiled  by  the  Federal 
Communications  Commission  by  licensees  of  standard  broadcast  sta¬ 
tions  and  the  three  major  networks  have  just  been  printed  and 
distributed.  The  first  is  entitled  "Analysis  of  Program  Expenses 
of  Stations  with  Time  Sales  of  $25,000  or  more  and  the  three 


Major  Networks  1939"  carrying 

the  following 

conclusion: 

Item 

519  stations 

3  Major 
Networks 

Total 

Program  expenses: 

Salaries  and  wages  of  program 
deoartment  $  6,417,118 

$2,382,846 

$8,799, 96i 

Talent  expenses 

9,504,431 

5,376, 229 

14,880, 660 

Royalties  and  license  fees 
relating  to  program 
mate  rial 

4, 289,454 

519,857 

4,809,311 

Cost  of  wire  services, 
exclusive  of  transmitter 
line 

2,305,434 

5,145,223 

7,450, 657 

Other  expenses  directly 
related  to  program 

2, 993,042 

1,045,613 

4,038,655 

Total  program  expenses 

$25, 509,479 

$14,469,768 

$39,979,247 

The  second  statement  has  to  do  with  cost  and  average 
cost  of  power  to  Standard  Broadcast  Stations  having  time  sales  of 
$25,000  or  more  in  1939. 

XXX  X  XXXXXX 


COLUMBIA  SEEKS  NSW  L. A.  TELEVISION  STATION 


An  application  for  a  construction  permit  for  a  new 
television  broadcast  station  in  Los  Angeles  has  been  received 
from  the  Columbia  Broadcasting  System.  It  would  be  operated  on 
Channel  3,  66,000-72,000  kc. ,  1,000  watts  visual  and  aural  and 
emission  A3  and  A5. 


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CONGRESSMAN  ATTACKS  WINCHELL  BROADCASTS 


An  echo  of  the  radio  rumpus  in  the  Senate  was  the  intro¬ 
duction  of  a  newspaper  story  describing  one  of  the  RCA  sessions 
into  the  Congressional  Record  of  August  12  be  Representative, 

J.  Thorkelson,  (r)  of  Montana  who  took  the  occasion  to  attack 
Walter  Winchell  as  follows: 

"This  article  about  the  RCA  verifies  statements  which  I 
have  made  during  the  2  years  I  have  been  here  in  Congress.  The 
National  Broadcasting  Co.  is  the  network  over  which  the  Jewish 
vilifier,  Walter  Winchell,  exhaled  his  poisonous  defamatory  remarks 
against  any  and  all  who  believe  in  the  fundamental  principles  of 
this  Government.  It  does  not  matter  to  him  who  they  are  or  what 
position  they  occupy,  if  they  cannot  see  eye  to  eye  with  his  own 
organized  minority.  They  are  all  wrong,  according  to  Mr.  Winchell. 
The  president  of  this  station,  Mr.  Sarnoff,  evidently  is  in  accord 
with  the  statements  made  by  Mr.  Winchell,  and  he  sould  be,  because 
he  is  one  of  the  same  people,  only  he  comes  from  Russia." 

"I  have  said  many  times  that  our  national-broadcasting 
stations  and  the  national  press  are  controlled  and  dominated  by 
this  minority,  where  nothing  is  broadcast  or  published  except  what 
is  in  accord  this  minority  viewpoint.  It  is  because  of  this  con¬ 
trol  the  people  have  remained  uninformed  to  date,  and  it  is  to  en¬ 
lighten  them  that  I  have  made  it  my  business  to  insert  such  infor¬ 
mation  in  the  Congressional  Record  so  that  the  people  of  this 
Nation  should  learn  the  truth. " 

"As  to  Mr.  Winchell  himself,  little  can  be  said,  or, 
rather,  nothing  should  be  said,  as  even  the  most  contemptible  ex¬ 
pressions  give  him  too  much  credit.  The  New  Yorker  carried  an 
article  in  which  it  alleged  that  Edgar  Hoover,  of  the  F.  B.  I. , 
furnished  this  Charlie  McCarthy  of  the  air  two  G-men  for  his  pro¬ 
tection.  I  often  wonder  why  the  people  should  be  taxed  to  protect 
such  accidents  of  humanity.  I  cannot  imagine  what  they  are  saving 
him  for.  For  what  purpose  can  he  serve,  except  as  a  mediocre 
mudslinger?  I  would  be  much  more  sensible  to  give  him  a  shovel  so 
that  he  may  engage  in  respectable  labor.  He  could  at  least  in  such 
occupation  dig  a  pit  for  himself  to  fall  in,  and  what  a  relief  that 
would  be  to  those  who  are  tired  of  his  diatribes  and  slander!  This 
crowd,  as  the  article  clearly  shows,  lives  on  bribes.  Benjamin 
Franklin  had  his  contracts  and  troubles  when  he  tried  to  finance 
the  Revolutionary  War,  for  he  had  dealings  with  those  whose  god  is 
gold  and  whose  savior  is  a  bribe.  " 

XXXXXXXXXX 


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MUST  C-IVE  FIXED  POINT-TO-POINT  CALL  LETTERS 


To  meet  the  need  of  identifying  transmission  by  fixed 
public  point-to-point  radiotelegraph  and  radiotelephone  stations 
for  monitoring  purposes,  the  Federal  Communications  Commission  has 
adopted  a  new  rule  requiring  identification  announcements  at 
specified  intervals. 

Worked  out  in  cooperation  with  the  various  common  carriers, 
this  rule  provides  that  identification  call  letters  be  transmitted 
at  least  twice  each  hour.  In  the  case  of  radiotelegraph  stations 
using  international  Morse  code,  it  shall  be  at  a  speed  of  not  to 
exceed  25  words  a  minuet  without  the  use  of  multiplexing,  tape 
facsimile,  or  other  methods  of  operation.  In  the  case  of  radio¬ 
telephone  stations,  type  A-3  emission  may  be  used,  provided  privacy 
or  secrecy  equipment  is  not  employed  during  such  transmission. 


The  new  requirement  is  intended  to  assist  adequate  national 
defense  surveilance  without  unduly  impairing  the  efficiency  or  rapi¬ 
dity  of  service  now  offered  by  the  various  companies.  Up  to  now 
these  stations  have  not  been  required  to  transmit  the  call  letters 
of  the  frequencies  emitted. 

The  complete  text  of  the  new  rule  follows: 

Sec.  6.3?  Call  leters,  transmission  of.  Every  point-to- 
point  telegraph  and  telephone  station  in  the  fixed  public  and  fixed 
public  press  services  shall  transmit  three  times  in  succession  at 
half  hourly  intervals  during  each  24  hour  period  the  identifying 
call  letters  of  the  frequency  or  frequencies  below  50,000  kilo¬ 
cycles  on  which  transmissions  are  taking  place.  This  transmission 
shall  be  made  v-ithin  the  period  ten  minutes  before  and  ten  minutes 
after  the  hour  and  half  hour  under  the  following  conditions: 

Point-to-point  Telegraph  Stations. 

(a)  The  transmission  shall  be  made  in  international  Morse 
code  utilizing  either  type  A-I  or  type  A-2  emission  at  a  transmission 
speed  not  to  exceed  twenty-five  words  per  minute  without  the  use  of 
multiplexing,  tape  facsimile,  printer  or  other  similar  equipment  or 
methods  of  operation  during  such  period  and  shall  consist  of  trans¬ 
mitting  the  signal  ttQRA  de "  followed  by  the  call  letters. 

(b)  Point-to-point  telegraph  stations  engaged  in  a.  radio¬ 
photo  or  an  Addressed  Program  transmission  shall  not  be  required  to 
transmit  identifying  call  letters  during  the  period  when  such 
identification  would  interrupt  the  continuity  of  the  program  or 
radiophoto  that  is  being  transmitted.  In  any  such  case  the  identi¬ 
fying  call  letters  shall  be  transmitted  as  outlined  above,  immediate¬ 
ly  following  the  conclusion  of  the  program  or  radiophoto. 


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Point-to-Point  Telephone  Stations 

(a)  The  transmission  shall  be  made  employing  either  type 
A-l,  A- 2  or  A- 3  emission;  provided,  however,  when  utilizing  type 
A-l  or  A- 2  emission  the  transmission  shall  be  made  in  international 
Morse  code  at  a  transmission  speed  not  to  exceed  twenty-five  words 
per  minute  and  shall  consist  of  transmitting  the  signal  "QRA  de  " 
followed  by  the  call  letters.  When  utilizing  type  A- 3  emission, 

all  privacy  or  secrecy  devices  shall  be  removed  from  the  transmitter 
input  circuit  during  such  period  and  the  announcement  shall  be  made 
in  the  following  order:  "This  is  Station  (call  letters).” 

(b)  Point-to  point  telephone  stations  continuously  engag¬ 
ed  in  a  public  telephone  message,  radiophoto,  or  an  Addressed  Progra: 
transmission  shall  not  be  required  to  transmit  identifying  call 
letters  during  the  period  when  such  identification  would  interrupt 
the  continuity  of  the  message,  radiophoto,  or  program  that  is  being 
transmitted..  In  any  such  case  the  identifying  call  letters  shall 

be  transmitted,  as  outlined  above,  immediately  following  the  con¬ 
clusion  of  the  message,  radiophoto,  or  program. 

xxxxxxxxxxx 


SENATOR  SHOWS  FURTHER  INTEREST  IN  PERSHING-  BROADCAST 


Still  pursuing  the  subject  of  the  origin  of  the  recent 
broadcast  of  General  John  J.  Pershing,  Senator  Burton  K.  Wheeler 
(D)  of  Montana  had  printed  in  the  Congressional  Record  the  follow¬ 
ing  editorial  from  the  St.  Louis  Post-Dispatch: 

"So  that  the  people  may  know  what  forces  are  behind  the 
proposal  to  send  50  American  destroyers  to  help  England,  the  Post- 
Dispatch  has  done  some  exploring  into  the  background  of  General 
Pershing's  broadcast  of  last  Sunday.  The  findings  are  not  complete, 
but  they  are  most  informative.  Indeed,  the  curtain  of  silence  and 
secrecy  encountered  at  various  points  is  highly  significant  in  it¬ 
self.  " 


"Joseph  Alsop,  columnist  and  zealous  Anglophile,  arranged 
for  the  broadcast,  but  now  asserts  "it  would  be  wiser"  for  him  to 
say  nothing  about  it.  The  day  after  the  Pershing  speech,  his  col¬ 
umn  wrote  an  article  this  week  endorsing  it,  says  General  Pershing 
asked  him  to  talk  over  the  address,  but  declines  to  say  who  else 
participated.  The  general's  aide,  Colonel  Adamson,  says  several 
persons,  whom  he  would  not  name,  had  urged  the  general  to  make  the 
speech.  Pershing,  who  holds  the  key  to  the  mystery,  refuses  to  be 
interviewed  about  the  speech  or  its  origin.  Just  why  all  this 
disinclination  to  speak  of  the  part  of  Messrs.  Alsop  Lippmann, 
Adamson,  and  Pershing? 


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"Enough  has  come  out  to  prove  conclusively  that  the 
speech  was  part  of  a  concerted  campaign  to  send  destroyers  to 
England — an  action  which  would,  in  the  opinion  of  competent  ex¬ 
perts,  weaken  American  defenses  and  constitute  an  act  of  war.  The 
choice  of  General  Pershing  to  put  it  before  the  public  was  a  canny 
move.  He  is  a  military  hero,  a  venerated  figure.  Isn’t  it  likely 
that  some  shrewd  mind  considered  him  the  ideal  person  to  answer 
another  popular  hero,  Colonel  Lindbergh,  who  was  scheduled  to  make 
an  anti-interventionist  broadcast?" 

"The  people  are  entitled  to  know  the  full  facts  as  to  the 
origin  and  inspiration  of  the  Pershing  speech.  The  mystery  of  his 
sudden  emergence  from  retirement,  at  almost  80,  to  make  this  plea 
ought  to  be  cleared  up.  General  Pershing  is  still  an  officer  of 
the  United  States  Army.  It  would  be  entirely  proper  for  a  committee 
of  Congress  to  call  on  him,  and  the  other  figures  in  this  strange 
episode,  to  tell  the  full  story.  It  is  vital  that  Congress  and  the 
people  know  exactly  what  is  going  on  backstage  in  Washington  in 
these  crucial  times.  A  congressional  investigation  is  assuredly  in 
order. 

XXXXXXXXXX 


WILLKIE  APPEALED  TO  IN  RCA  CASE 


Others  of  the  greatest  prominence  having  been  mentioned 
including  President  Roosevelt,  former  President  Hoover,  former 
Vice-President  Dawes,  the  name  of  another  celebrity  was  added  to 
the  RCA  Senate  investigation  when  Governor  George  D.  Aiken  ( R) 
called  upon  Wendell  Willkie  to  use  all  his  influence  to  obtain 
the  resignation  of  Former  Senator  Daniel  0.  Hastings,  of  Delaware 
from  the  Republican  Party’s  National  Executive  Committee. 

In  an  open  letter  to  the  Republican  Presidential  nominee, 
Aiken  referred  to  testimony  before  a  Senate  subcommittee  that 
Hastings  received  $7,500  for  a  fee  from  Radio  Corporation  of 
America  for  his  efforts  toward  obtaining  a  continuance  of  a  Gov't 
antitrust  suit  against  RCA. 

At  about  the  same  time  that  Governor  Aiken  sent  the 
letter  to  Mr.  Willkie ,  Former  Senator  Hastings,  again  called  to 
the  Senate  witness  stand  characterized  as  a  "plain  damned  lie"  any 
inference  he  had  paid  any  money  to  Harry  C.  Mahaffy,  Jr.  ,  clerk  to 
the  United  States  Court  in  Wilmington,  Delaware,  to  use  his  in¬ 
fluence  with  Judge  John  P.  Nields,  for  a  continuance  of  an  RCA 
antitrust  suit  in  1932.  It  had  been  charged  that  Former  Senator 
Hastings  had  had  considerable  to  do  in  having  Judge  Nields  appoint¬ 
ed  to  the  Federal  Bench. 

Senator  Tobey  ( R)  of  New  Hampshire  asked  if  Mr.  Hastings 
had  lost  a  case  in  the  United  States  Court  in  Wilmington  since  1934. 


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The  witness  answered  that  he  wished  he  could  say  no,  and  then  added 
that  if  the  Senator  were  implying  that  the  witness  had  been  favored 
by  Federal  Judge  Nields,  presiding  in  the  court,  he  was  wrong. 

In  explanation  of  his  long  series  of  victories  before 
Judge  Nields,  Mr.  Hastings  announced,  "I’m  a  good  lawyer.  Other 
lawyers  have  won  many  cases  before  Judge  Nields.  There  is  nothing 
unusual  about  what  Judge  Nields  has  done  for  me." 

J.  Austin  Smith,  New  York  accountant,  told  the  Committee 
that  he  had  been  employed  in  1936  to  write  a  report  critical  of  the 
Radio  Corporation  of1  America  so  that  his  employer  might  make  a 
connection  with  the  company. 

He  was  hired.,  he  said  by  Patrick  Powers,  Westport,  Conn.  , 
retired  motion  picture  executive,  who  wanted  him  "to  make  a  report 
which  would  embarrass  RCA"  the  report,  which  he  said  was  prepared 
from  data  furnished  by  Powers,  criticized  RCA's  administrative  and 
financial  structure. 

After  the  report  was  drafted,  Smith  said,  that  Powers  ob¬ 
tained  employment  for  him  from  RCA  which  paid  him  $20,000  to  $25,000 
in  the  next  four  years.  Smith  said  that  he  then  learned  that  the 
report  "was  not  based  on  sufficient  investigation. "  He  did  not  say 
whether  Powers  made  a  "connection.  " 

Senator  Tobey  interrupted.  Smith  to  say: 

"By  your  own  admission  you  were  employed  to  write  an  ad¬ 
verse,  hostile  and  critical  report  and  draw  every  conclusion  you 
could  that  would  be  injurious  to  the  corporation. " 

"I  say  the  fellow  responsible  should  be  put  where  he  can't 
make  such  reports,  "  the  Senator  declared.  "This  is  a.  damnable 
situation,  based  on  partial  evidence — a  frame-up,  you  can  call  it. " 

XXXXXXXXXXX 


SAN  FRANCISCO  SCHOOLS  WOULD  TRY  FM 

First  use  of  FM  (frequency  modulation)  broadcast  in  the 
non-commercial  educational  field  is  proposed  by  the  Board  of  Educa¬ 
tion  of  the  San  Francisco  Unified  School  District  as  a  result  of 
being  granted  a  construction  permit  by  the  Federal  Communications 
Commission  for  a  new  station  at  22nd  and  Bartlett  Streets,  that  city, 
to  operate  on  42,100  kilocycles  with  1  kilowatt  power,  unlimited  time. 

It  intends  to  use  radio  for  instructional,  administrative^ 
supervisory,  and  other  functions  in  the  local  schools.  Thirteen 
studios  are  planned  for  high  schools  and  colleges  in  that  area.  They 
will  he  connected  with  the  broadcast  station  by  means  of  leased  wires. 
In  this  manner  it  is  expected  that  a  greater  number  of  teachers  and 
pupils  will  be  enabled  to  participate  with  less  effort  and  expense  of 

transportation. 


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The  broadcast  programs  will  cover  nearly  all  of  San 
Francisco  as  well  as  the  East  Bay  area  which  includes  the  cities 
of  Alameda,  Oakland,  Berkeley,  El  Cerrito  and  Richmond.  The  Board 
of  Education,  which  is  the  governing  body  of  the  San  Francisco 
Unified  School  District,  has  allocated  $9,000  for  the  station,  and 
an  additional  amount  of  $42,000  has  been  made  available. 

Three  other  institutions  were  previously  licensed  to 
use  AM  (amplitude  modulation)  on  the  channels  set  aside  for  non¬ 
commercial  educational  purposes.  They  are  the  New  York  City  Board 
of  Education,  the  Cleveland  Board  of  Education,  and,  more  recently, 
the  University  of  Kentucky. 

xxxxxxxxxx 


CONTROL  REGULATIONS  FOR  BRITISH  RADIO  TUBES 


The  Office  of  the  American  Commercial  Attache  in  London 
reports  the  present  position  regarding  control  regulations  for  radio 
tubes  in  the  United  Kingdom  is  that  the  importation  of  tubes,  as  well 
as  other  radio  parts,  is  entirely  prohibited.  There  is,  as  in  all 
British  import  prohibitions,  a  qualification  relating  to  goods  for 
export  or  for  Government  contracts,  but  so  far  as  it  has  been 
possible  to  ascertain,  any  exception  allowed  from  the  import  pro¬ 
hibition  is  not  limited  to  any  particular  type  of  tube. 

In  April  the  importation  of  valves  and  parts  continued  to 
be  allowed  on  the  basis  of  25  percent  of  imports  in  the  period 
immediately  preceding  the  beginning  of  the  war.  Subsequently  this 
concession  was  also  withdrawn  although  no  formal  Order  was  required 
or  issued.  The  Import  Licensing  Department  did,  however,  notify 
importers  informally,  under  date  of  June  13,  that  licenses  would  no 
longer  be  issued  for  the  importation  of  wireless  parts  or  valves  from 
countries  other  than  France  "with  the  possible  exception  of  parts  for 
apparatus  for  export  or  for  Government  contracts".  Later,  of  course, 
the  exception  for  imports  from  France  was  withdrawn. 

XXXXXXXXXX 


SALVADOR  TERMINAL  AMENDMENT  SUSPENDED 


The  Commission  FCC  took  the  following  action: 

Pending  inquiry,  suspended  for  90  days  amendments  to  tar¬ 
iffs  of  certain  companies  proposing  to  increase  rates  applicable  to 
all  classes  of  radiotelegraph  messages,  save  ordinary  press  messages, 
to  Salvador  to  meet  an  additional  one  cent  terminal  charge  per  word 
applied  by  the  government  of  that  country.  The  companies  concerned 
are  All  America  Cable  and  Radio,  Inc.,  Commercial  Pacific  Cable  Co., 
RCA  Communications,  Inc.,  Tropical  Radio  Telegraph  Co.,  and  Western 
Union  Telegraph  Co. 

XXXXXXXXXXX 

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•  • 

TRADE  NOTES:: 


Dr.  W.  D.  Coolidge,  director  of  the  General  Electric 
Research  Laboratory,  has  been  named  to  the  newly  organized  National 
Inventors’  Council,  a  body  created  by  the  Secretary  of  Commerce  to 
encourage  civilian  inventions  as  part  of  the  national  defense  pro¬ 
gram. 


Station  WOV,  Greater  New  York  Broadcasting  Corporation 
New  York  City,  has  been  granted  a  construction  permit  to  change 
frequency  from  1180  Kc  to  1100  Kc  to  power  to  5  kilowatts  night 
and  10  kilowatts  daytime,  unlimited  hours  of  operation  and  per¬ 
mission  to  install  a  new  transmitter  and  directional  antenna.. 


Meade  Brunet  has  been  appointed  by  the  RCA  Manufacturing 
Company,  Inc.,  Camden,  N.J,m  as  manager  of  the  engineering  products 
division,  in  addition  to  his  position  as  manager  of  the  company's 
Washington  office. 


Mutual  System,  Inc.,  and  Subsidiaries — Six  months  to  June 
30:  Net  income,  $27,858,  equal  to  15  cents  each  on  184,279  shares 
of  common  stock,  compared  with  $20,859,  or  11  cents  each  on  171,774 
shares  of  common  stock  for  the  corresponding  six  months  of  1959. 


Under  a  new  NBC  setup  Donald  G.  Stratton,  will  concentrate 
on  spot  sales  in  an  area  which  will  include  the  Cleveland,  Detroit 
and  Pittsburgh  territories.  Elmer  Kettell,  who  has  just  joined  the 
NBC  sales  organization,  will  be  the  spot  sales  representative  for 
New  England.  J.  S.  De  Russey,  operating  from  the  New  York  office, 
will  cover  Newark  and  Philadelphia. 


In  a  reorganization  of  the  NBC  Pacific  Coast  sales  divi¬ 
sion,  Sydney  Dixon  was  named  Sales  Manager  of  the  Coast  Red  Network 
and  Tracy  Moore  was  appointed  Sales  Manager  of  the  Coast  Blue  Net¬ 
work,  it  was  announced  in  Hollywood  by  Don.E.  Gilman,  vice  president 
in  charge  of  the  Western  Division. 


John  M.  Cooper,  News  Editor  of  WBZ  and  WBZA  in  Boston  for 
the  past  six  months,  has  been  named  Director  of  Publicity  for 
Station  KDKA  by  John  A.  Holman,  General  Manager  of  the  Westinghouse 
Station  in  Pittsburgh.  Mr.  Cooper  joined  the  WBZ  and  WBZA  staff 
last  February  from  the  Boston  Transcript,  where  he  had  edited  and 
broadcast  the  Transcript  news  over  those  stations.  After  the 
election  was  over  in  1958,  Mr.  Cooper  having  been  Publicity  Director 
for  the  Main  Democratic  State  Committee,  he  joined  the  staff  of 
Station  WCSH  in  Portland  as  News  Editor,  resigning  in  1959  to  go 
to  Boston. 

XXXXXXXXXX 

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NEW  FREQUENCY  MONITORS  APPROVED 


The  Chief  Engineer  of  the  Federal  Communications  Commis¬ 
sion  acting  under  and  by  virtue  of  the  authority  conferred  upon 
him  by  Section  2(h)  of  Administrative  Order  No.  2  has  approved  the 
following  frequency  monitors  for  use  by  standard  broadcast  sta¬ 
tions  as  complying  with  the  requirements  of  Section  3.60  of  the 
Rules  and  Regulations  and  the  provisions  of  Section  15  of  the 
Standards  of  Good  Engineering  Practice: 


Manufacturer's  Name 


Type 


Approval  Number 


General 

Radio 

Company 

Type  25 A  (Formerly 

Oscillator,  Type  475-C, 
Deviation  Meter,  Type  681-B, 
Quarts  Plate  Type  376-L) 

1461 

General 

Radio 

Company 

Type  25-AB  (Oscillator 

Type  475-B  and  Deviation 

Meter  681-A  modified) 

1463 

RCA  Manufacturing  Co. 

Type  3 11- A 

1462 

Western 

Electric  Co. 

Type  I-C 

(Type  I- A  modified) 

1464 

The  above  monitors  are  the  only  frequency  monitors  approved 
at  the  present  time  as  complying  with  Section  3.60  of  the  Rules  and 
Regulations,  effective  August  1,  1940.  These  are  the  only  monitors 
vMch  may  be  employed  by  new  stations  (original  construction  permit 
granted  on  or  after  August  1,  1939).  However,  several  other  manu¬ 
facturers  have  submitted,  or  have  advised  that  they  propose  to  sub¬ 
mit  data  showing  that  with  certain  modifications,  monitors  that 
were  formerly  approved  under  Section  21  of  the  Standards  of  Good 
Engineering  Practice  are  capable  of  compliance  with  Section  3.60 
of  the  Rules  and  Regulations  and  Section  15  of  the  Standards  of 
Good  Engineering  Practice. 

If  and  when  these  modified  monitors  are  approved,  they  will  be 
assigned  approval  numbers  and  will  be  listed  with  the  above  units 
as  approved  frequency  monitors  under  Section  21  of  the  Standards  of 
Good  Engineering  Practice. 

In  the  event  existing  stations  (original  construction  permit 
granted  priot  to  Aug.  1,  1939)  do  not  choose  to  have  the  present 
monitors  modified  after  the  modifications  in  the  monitor  are  approved 
by  the  Commission  or  nave  other  than  approved  modifications  made, 
they  may  continue  to  use  the  formerly  approved  monitors.  However, 
no  explanation  of  a  frequency  deviation  in  excess  of  that  permitted 
by  Section  3.59  can  be  accepted  where  it  is  evident  or  claimed  that 
the  deviation  was  due  to  the  failure  or  inaccuracy  of  the  monitor. 

XXXXXXXXX 

NAB  PREZ  UPPED  TO  PROBABLY  $40,000 

.  That  the  National  Association  of  Broadcasters  is  satisfied 

Iin  experiment  of  having  a  paid  President  is  indicated  by  the 
v-LUjUUO  raise  and  extension  of  the  contract  of  Neville  Miller  at 
an  Francisco.  Mr.  Miller  is  said  to  be  receiving  at  present  $30,000 
with  allowances  which,  with  the  salary  increase  voted,  would 
put  him  in  the  $40,000  class. 

XXXXXXXXXX 


12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  AUGUST  20,  1940 


LEGAL  DEPARTMENT  ___  * 

*  [EDI (gill®  101 

,  Ira  -  m  ; 

k#!1  '  -'-H 

4»j ••• . *  .in  - 


Willkie  Has  Convincing  Aggressive  Radio  Voice . 2 

Further  FCC  Legal  Restrictions . 5 

U.  S.  Shipping  in  Argentina  Radio  Sales . 3 

Television  Sets  January  1  as  Goal . 5 

Radio  Draftsmen  and  Signal  Corps  Inspectors  Sought . 6 

Chicago  Experts  Work  to  Iron  Out  F-M  Kinks . 7 

Azores  Is  Short-Wave  Listening  Post . 8 

FCC  Chairman  Returns  From  The  West . 9 

I.R.  E.  To  Meet  Aug.  28-30 . ..9 

National  Research  Council  RCA  Fellowship  Established . 10 

New  San  Francisco  NBC  Sales  Divisions . 10 

New  Rules  Governing  Fixed  Radio  Services . . . 11 


Trade  Notes 


12 


August  20,  1940 


WILLKIE  HAS  CONVINCING  AGGRESSIVE  RADIO  VOICE 


Any  fears  of  his  adherents  as  to  whether  or  not  Wendell 
Willkie  had  the  radio  voice  to  compete  with  President  Roosevelt  were 
entirely  put  at  rest  by  the  success  of  Mr.  Willkie’s  Indiana  broad¬ 
cast.  As  much  a  novice  in  radio  as  in  politics  and  entirely  diff¬ 
erent  from  President  Roosevelt  in  every  respect,  quality  of  voice, 
middle  Western  accent,  aggressive  rough  and  tumble,  chip  on  the 
shoulder  hard  hitting  fighter,  Wendell  Willkie  apparently  delighted 
the  radio  people  with  his  possibilities  in  the  forthcoming  campaign 
where  the  man  who  was  the  most  convincing  over  the  radio  may  win. 

Broadcasters  because  of  the  strangle  hold  the  Government 
has  on  them  through  the  control  of  their  stations  were  naturally  shy 
about  being  quoted  in  a  comparison  of  President  Roosevelt  and  Mr. 
Willkie,  but  it  may  be  safely  said  that  the  El wood  broadcast  demon¬ 
strated  to  their  complete  satisfaction  that  the  latter  could  hand 
it  back  to  the  President  over  the  radio  as  good  as  it  was  sent.  And 
didn’t  they  prick  up  their  ears  when  Willkie,  the  tough  old  jury 
lawyer,  suggested  a  series  of  Lincoln-Douglas  joint  debates.  Would¬ 
n’t  that  be  something  to  put  on  the  air,  the  broadcasters  said. 

At  that  Mr.  Willkie  was  heard  under  difficult  conditions 
last  Saturday.  Wilted  by  the  102  degree  heat,  voice  husky  from  the 
48  hour  seige  of  personally  greeting  home  folks,  irked  by  having  to 
read  his  speech  when  he  knew  he  could  do  much  better  without  a  manu¬ 
script,  and  facing  a  radio  audience  which  had  been  addressed  at  too 
great  length  by  Representatives  Halleck  of  Indiana  and  Joseph  Martin 
of  Massachusetts ,  the  odds  were  against  the  nominee.  Ordinarily, 
Halleck  and  Martin,  both  good  speakers,  would  have  been  listened  to 
with  interest  but  on  this  occasion  with  them  rehashing  a  lot  of 
stuff  about  Willkie  that  everybody  already  knew  by  heart,  the  radio 
audience  was  a  good  deal  in  the  frame  of  mind  of  a  sports  crowd 
sitting  through  the  bouts  of  the  preliminary  fighters  and  restlessly 
awaiting  the  champs. 

No  orator,  Mr.  Willkie  seemed  to  be  very  successful  in 
projecting  his  fighting  personality  through  the  etherial  waves  to 
what  was  probably  one  of  the  greatest  daytime  audiences  in  the 
history  of  radio.  In  addition  to  his  aggressiveness  and  confidence, 
the  speaker  unquestionably  got  across  to  his  radio  listeners,  the  air 
of  sincerity  which  so  impresses  those  who  meet  him  in  person — that  he 
is  not  merely  a  promiser  but  a  doer. 

The  difference  between  Mr.  Willkie '  s  Middle  Western  accent 
and  the  polished  Eastern  accent  of  President  Roosevelt  was  very  mark¬ 
ed  over  the  air.  The  Republican  nominee  had  a  way  of  collapsing  the 
lirst  syllable  of  words  such  as  "Plitical"  (political),  "rligion” 
(religion)  and  "bleve”  (believe).  His  manner  of  speech  was  typically 
rfoosier  despite  long  residence  in  the  East. 

-  2  - 


August  20,  1940 


Although  coming  along  as  a  trailer  and  evidently  in 
commercial  time  immediately  following  Mr.  Willkie 's  speech  was  an 
entirely  new  radio  salesman  par  excellance.  Instead  of  selling 
watches  or  soap,  this  youthful  super  salesman  of  the  air  took  the 
opportunity  to  hit  the  iron  while  it  was  hot  for  Wendell  Willkie 
and  the  Associated  Willkie  Clubs  which  are  being  so  rapidly  organized 
It  was  no  other  than  Orrin  Root,  Jr.  ,  the  young  Princeton  graduate. 
Credited  with  being  one  of  Willkie’ s  earliest  discovery's  and  now 
organizing  Willkie  Clubs  throughout  the  country.  Mr.  Root  seemed  to 
have  everything  it  takes  to  get  himself  over  the  air  and  if  thousands 
didn't  sign  on  the  dotted  line  after  his  earnest  talk  in  behalf  of 
Mr.  Willkie  and  the  Willkie  Clubs,  it  vould  surprise  this  observer. 
Evidently  Mr.  Root  is  a  young  man  Mr.  Ted  Church,  Radio  Director  of 
the.  Republican  Committee,  shouldn't  overlook  because  the  boy  is 
really  good  and  sounded  over  the  aitfas  if  he  really  believed  what 
he  said. 


XXXXXXXXXX 


FURTHER  FCC  LEGAL  RESTRICTIONS 


The  Federal  Communications  Commission  amended  Section  1.38 
of  its  Rules  of  Practice  and  Procedure  by  designating  the  existing 
rule  as  subsection  (a)  and  by  adding  an  additional  subsection  read¬ 
ing  as  follows: 

"(b)  No  member,  officer  or  employee  of  the 
Commission  (1)  whose  active  service  with  the 
Commission  has  terminated  but  who  is  receiving 
pay  while  on  annual  leave  not  taken  prior  to 
separation  from  such  active  service,  or  (2)  who 
is  in  any  other  leave  status,  shall  appear  as 
attorney  or  participate  in  the  preparation  or 
handling  of  any  matter  before,  or  to  be  sub¬ 
mitted  to,  the  Commission. " 

XXXXXXXXXX 


U.S.  SHIPPING  IN  ARGENTINA  RADIO  SALES 


Argentina  continues  to  be  one  of  the  largest  foreign 
markets  for  American  radio  materials,  although  the  value  of  United 
States  radio  exports  to  that  country  has  declined  from  the  1937 
record  level  of  $2,621,806  to  $1,859,216  in  1938  and  $1,376,264  in 
1939. 


Local  radio  reception  is  good  on  the  medium  waves,  while 
short  wave  reception  is  normal,  and  depends  largely  on  the  trans¬ 
mitting  station.  American  stations  have  recently  improved  in  signal 
strength,  but  are  still  not  quite  as  strong  as  German  or  British 
Stations. 


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August  20,  1940 


The  least  satisfactory  period  for  shrot  wave  reception 
is  the  summer  months  of  December,  January,  and  February.  From  4 
to  6.30pm  is  the  worst  time  of  the  day  for  local  reception  of  short 
wave.  There  is  also  fading  in  the  north-south  circuit  from  12.30 
to  1.30pm.  Reception  is  very  good  from  7  to  11  pm  from  almost  any 
direction. 


A  consensus  of  the  most  reliable  estimates  would  indicate 
that  there  are  between  1,000,000  and  1,050,000  receiving  sets  in 
use  in  Argentina.  About  250,000  sets  are  sold  each  year.  The 
principal  season  each  year  is  from  April  to  October. 

The  domestic  radio  industry  is  well  organized,  and  virtu¬ 
ally  all  of  the  receiving  sets  are  now  produced  within  the  country. 

The  local  manufacture  of  parts  is  also  substantial,  although  the 
sale  of  components  continues  to  account  for  the  largest  share  of 
the  United  States  trade.  Imports  of  American  tubes  have  declined 
in  recent  years,  partly  owing  to  increasing  activity  on  the  part  of 
local  tube  assembler. 

The  principal  competitor  of  American  lines  is  the  Dutch 
company,  Philips,  which  is  active  in  all  phases  of  the  ra,dio  field, 
and  which  is  continuing  with  its  endeavors  to  dominate  this  market. 

The  Republic  of  Argentina  has  an  area  of  over  1,000,000 
square  miles,  extending  2,300  miles  from  north  to  south  and  being 
about  1,000  miles  acr  ss  the  widest  part.  If  compared  with  the 
Northern  Hemisphere,  Argentina  would  extend  from  Labrador  to  Cuba, 
and  Buenos  Aires  would  be  located  at  about  the  same  latitude  as 
Little  Rock,  Arkansas. 

Population  is  estimated  at  approximately  13,000,000  about 
three- fourths  of  which  is  urban. 

The  city  of  Buenos  Aires,  with  a  population  of  2,500,000 
and  its  immediate  vicinity,  account  for  about  half  the  Argentine 
radio  sales. 

There  are  two  important  station  chains  in  Argentina. 

"Radio  El  Mundo  "  broadcasts  daily  in  conjunction  with  11  other 
stations  in  the  interior,  which  "Radio  Belgrano"  works  with  8 
other  stations  in  Argentina  and  one  in  Uruguay.  These  chain  pro¬ 
grams  are  available  up  to  a  total  of  seven  hours  daily.  "Radio 
Excelsior"  programs  are  also  occasionally  transmitted  from  LT8  in 
Rosario. 

XXXXXXXXXX 

A  new  16-page  short-wave  station  guide  which  lists  several 
hundred  stations  throughout  the  world,  revised  since  the  European 
ffar  began,  together  with  their  frequencies  and  call  letters,  has  beerm 
prepared  by  the  broadcasting  division  of  the  General  Electric  Company. 

The  book  is  being  offered  gratis  to  listeners  of  the  com¬ 
pany's  international  stations  and  since  the  first  announcement  less 
than  a  month  ago,  more  than  2,00  requests  have  been  received  from 
Latin  and  South  America.  The  guide  also  includes  operating  schedules 
°f  stations  and  a  world-wide  time  map  comparing  times  of  the  world 
with  Eastern  Standard  Time.  It  is  printed  in  English,  Spanish  and 
French.  XXXXXXXXXX 

-  4 


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August  20,  1940 


TELEVISION  SETS  JANUARY  1  AS  GOAL 


The  National  Television  Systems  Committee,  organized  in 
New  York  last  month,  is  expediting  its  technical  studies  under  the 
leadership  of  Chairman  W.  R.  G.  Baker,  with  January  1  as  an  informal 
goal. 

The  Industry  Committee  has  been  completed  through  the 
appointment  of  three  additional  memebers:  Ray  H.  Manson  to  re¬ 
present  the  Stromberg- Carlson  Telephone  Mfg.  Co. ,  Dr.  Palph  Brown 
of  the  Bell  Telephone  Laboratories,  and  President  Paul  R.  Raidbourn 
of  Television  Productions,  Inc. ,  New  York,  a  subsidiary  of  Para¬ 
mount  Pictures. 

Nine  "panels",  or  subcommittees,  of  research  and  technical 
experts  are  completing  their  personnel  and  arranging  their  programs 
of  technical  studies  and  transmitter  experiments.  B.  Ray  Cummings 
of  Fort  Wayne,  Ind. ,  has  been  appointed  chairman  of  the  "panel"  on 
Transmitter  Characteristics  in  place  of  Philo  T.  Farnsworth,  thus 
completing  the  organization  of  the  "panel"  chairmen. 

A  meeting  of  the  "Panel"  Chairmen  will  be  held  on  Wednes¬ 
day,  August  21,  in  New  York  City,  for  the  purpose  of  detailing  the 
program  of  each  "panel"  and  outlining  the  various  steps  and  time 
necessary  for  the  study  of  each  problem.  Many  other  meetings  of 
subcommittees,  or  "panels",  of  the  Industry  Committee  will  be  held 
next  month. 

In  accordance  with  the  decisions  arrived  at  the  first 
meeting  of  the  National  Television  Systems  Committee  as  held  in 
New  York  City  last  month  on  the  study  of  the  wide  range  of  technical 
problems  undertaken  by  the  committee  and  its  component  panels  is 
under  way.  The  organization  of  the  personnel  of  the  panel,  or  sub¬ 
committee,  on  Coordination  of  Transmitters  and  Receivers  is  complete 
and  the  work  in  this  field  has  begun. 

This  panel  has  been  organized  under  the  chairmanship  of 
I.  J.  Kaar  of  the  General  Electric  Company  to  study  and  report  on 
the  essential  factors  of  coordination  in  the  design  and  operation 
of  television  transmitters  and  receivers.  Among  these  are  included 
such  matters  as  the  degree  of  pre-emphasis  to  be  employed  in  the 
sound  channel  of  the  transmitter  and  the  corresponding  degree  of 
deemphasis  to  be  given  the  sound  channel  in  the  receiving  equipment: 
the  basically  similar  treatment  to  be  given  the  video  sidebands  in 
the  transmitter  and  the  corresponding  treatment  to  be  given  in  the 
receiver;  and  associated  or  similar  problems. 

For  this  work  the  following  group  of  engineers  have  been 
appointed  by  Dr.  Baker,  chairman, to  work  with  Mr.  Kaar: 


August  20,  1S40 


E.  F.  W.  Alexanderson,  General  Electric  Company,  Schenec¬ 
tady;  R.  D.  Kell,  RCA  Victor  Company,  Inc.,  Camden;  F.  J.  Bingley, 
Phiico  Radio  &  Television  Corn. ,  Philadelphia;  N.  P.  Case,  Hazeltine 
Service  Corporation,  New  York;  J.  N.  Dyer,  Columbia  Broadcasting 
System,  New  York,  and  T.  T.  Goldsmith,  Allen  E.  Du  Mont  Laboratories, 
Passaic. 

Also,  M.  Cawein,  Fbrnsworth  Radio  &  Television  Corp. ,  Fort 
Wayne,  Ind. ;  A.  G.  Jensen,  Bell  Telephone  Laboratories,  New  York; 

H.  R.  Lubcke,  Don  Lee  Broadcasting  System,  Los  Angeles,  George  Towne, 
Stromberg- Carlson  Telephone  Mfg.  Co.,  Rochester;  Paul  J.  Larsen, 

Baird  Television  Corp. ,  East  Orange;  Herman  Greenberg,  Fulton  Radio 
Corp.  ,  New  York;  and  D.  D.  Israel,  Emerson  Radio  &  Phonograph  Corp. , 
New  York. 


This  group  will  make  extensive  studies  of  all  aspects  of 
the  problems  allocated  to  this  panel  and  develop  from  these  studies 
those  practices  that  will  provide  the  best  national  system  of 
television  broadcasting. 

This  panel  on  Transmitter- Receiver  Coordination  is  but  one 
of  the  nine  panels  in  whose  hands  the  study  and  development  of  the 
engineering  essentials  of  a  suitable  national  television  system  have 
been  placed.  The  organization  of  the  personnel  and  the  work  of  all 
of  these  panels  are  proceeding  rapidly  and  it  is  anticipated  that 
this  division  of  the  work  of  the  National  Television  Systems 
Committee  and  the  application  to  the  many  problems  of  substantially 
all  of  the  specialized  skills  which  the  nation  affords  will  result 
in  their  early  and  satisfactory  solution. 

XXXXXXXXXX 


RADIO  DRAFTSMEN  AND  SIGNAL  CORPS  INSPECTORS  SOUGHT 


The  United  States  Civil  Service  Commission  announces 
examinations  of  interest  to  oersons  trained  in  radio  engineering 
work  as  follows: 

,  Engineering  Draftsman,  five  grades,  salaries  ranging  from 

vl, o20. to  $2,600  a  year.  The  optional  branches  of  drafting  include 
electrical  and  radio.  Applications  must  be  on  file  with  the  Civil 
Service  Commission,  not  later  than  September  12. 

Applications  will  also  be  received  and  rated  until  fur¬ 
ther  notice  by  the  Civil  Service  Commission  for  the  positions  of 
inspector,  three  grades,  Signal  Corps  Equipment,  salaries  ranging 
irom  $2,000  to  $3,200  a  year.  These  examinations  are  announced 
ior  the  Signal  Corps,  War  Department,  for  duty  in  the  field.  Appli¬ 
cants  mush  show  4  years  of  college  study  leading  to  a  bachelor’s 
^egree  in  electrical  or  radio  engineering.  In  addition,  for  the 
senior  Inspector  and  Inspector  grades,  they  must  have  had  experience 
n  the  inspection  and/or  testing  of  varied  signal  corps  equipment, 

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radio,  telephone,  telegraph,  and  power  units,  etc.,  to  determine 
compliance  with  specifications.  An  additional  year  of  inspectional 
experience  may  be  substituted  for  each  year  lacking  of  the  required 
college  education;  engineering  experience  in  the  field  of  communi¬ 
cation  and/or  navigational  radio  work  may  be  substituted  for  the 
engineering  experience,  except  that  for  the  Sen:. or  grade  at  least 
one  year  of  inspectional  experience  must  be  shown. 

Application  forms  and  information  may  be  obtained  from 
the  Secretary,  Board  of  U.  S.  Civil  Service  Examiners,  at  any  first 
or  second-class  post  office,  or  from  the  Commission’s  Washington 
Office. 


xxxxxxxxxx 

CHICAGO  EXPERTS  WORK  TO  IRON  OUT  F-M  KINKS 


The  radio  industry  has  gone  to  work  to  overcome  the  ob¬ 
stacles  that  stand  in  the  way  of  a  full  appreciation  of  its  newest 
wonder,  frequency  modulation.  F-M  is  Maj.  Edwin  H.  Armstrong' s 
new  system  of  high  fidelity,  staticless  broadcasting,  Larry  Wolters 
writer  in  the  Chicago  Tribune. 

Station  W-G-N  last  Tuesday  filed  an  application  for  a 
50, 000- watt  F-M  transmitter  with  the  federal  communications  commiss¬ 
ion. 


Before  embracing  F-M,  radio  experts  suggest  that  it  may  be 
wise  for  listeners,  particularly  if  middle  aged  listeners  or  elderly 
to  have  their  hearing  range  tested.  F-M  transmits  the  entire  range 
of  tones  audible  to  humans  from  25  to  15,000  cycles  (or  waves)  per 
second.  Moreover,  the  FCC  has  set  this  15,000  "ceiling”  as  standard 
for  F-M  stations.  They  must  all  transmit  the  full  range. 

Only  a  minority  of  humans  can  hear  tones  this  high.  (Dogs 
hear  much  toned  higher.  The  silent  dog  whistle,  inaudible  to  humans 
is  pitched  at  16,000  cycles. )  Large  scale  tests,  conducted  by  Bell 
Telephone  laboratories,  show  approximately  10,000  as  the  upper  limit 
for  the  minority  of  humans. 

Many  middle  aged  or  elderly  persons,  unaware  of  aura  short¬ 
comings,  have  found  their  range  not  extending  much  beyond  5,000  after 
submitting  to  tests.  Such  persons  cannot  hear  a  piano  with  complete 
naturalness.  The  range  of  its  fundamental  tones  is  from  26  to 
4,186  (middle  C  is  256).  But  with  its  harmonic  or  overtones,  which 
give  an  instrument  its  tone  quality,  or  timbre,  the  piano  reaches 
up  to  8,100  cycles. 

Many  persons  who  are  not  aware  of  any  impairment  in  their 
auditory  equipment  cannot  hear  the  chirp  of  crickets.  Their  range 
extends  from  3,000  to  around  6,000  cycles. 


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August  20,  1940 


1 


This  came  to  the  attention  of  E.  F.  McDonald,  Jr. , 
president  of  Zenith  Radio  Corporation  in  Chicago.  He  had  tested 
all  Zenith  workmen  who  must  rely  on  their  hearing  in  their  jobs. 

A  startlingly  high  proportion,  Commander  McDonald  said, 
were  found  to  have  hearing  impairments,  particularly  deficiencies 
in  their  sense  of  range.  Those  with  !itin!:  ears  were  transferred 
to  jobs  where  good  hearing  was  not  a,  prerequisite,  Mr.  McDonald 
recommended  similar  tests  for  piano  tuners.11 

F-M  broadcasters  face  a  major  bottleneck  in  the  limited 
capacity  of  network  telephone  circuits.  Mutual- s  leased  circuits, 
best  available,  carry  only  5,250  cycles. 

Phone  lines  from  W-G-N’ s  studios  to  transmitter  can  handle 
8,000  cycles.  Still  better  facilities  will  be  available  for  short 
distances  linking  F-M  transmitters  and  studios.  But  suitable  long 
distance  lines  for  F-M  are  not  available.  Broadcasters  are  told  by 
the  telephone  companies  that  they  cannot  be  laid  without  great  ex¬ 
pense  . 

So  the  F-M  interests  are  seriously  considering  setting  up 
radio  relay  networks  without  telephone  wires.  Stations  would  be 
linked  together  by  "beam"  transmitters  at  50  to  100  mile  intervals. 
Such  networks,  they  say,  would  provide  high  fidelity  transmission. 

Standard  receivers  truned  out  in  volume  today  will  carry 
only  from  about  5,500  to  5,000  cycles.  But  manufacturers  are  pre¬ 
pared  to  make  higher  fidelity  receivers,  with  the  advent  of  F-M 
when  the  other  obstacles  to  fine  reception  are  cleared  up. 

At  least  one  manufacturer  in  Chicago,  the  E.  H.  Scott 
Radio  laboratories,  has  already  brought  out  a.n  F-M  receiver  which, 
the  company  cla.ims,  delivers  the  full  range  of  frequencies  up  to 
15,000  cycles  through  a  dual  loudspeaker  system.  This  company  has 
reported  that  already  four  out  of  five  customers  are  buying  F-M 
sets  in  anticipation  of  true  high  fidelity  programs. 

xxxxxxxxxx 

I  AZORES'  IS  SHORf-WAVS  LISTENING  POST 

Reception  from  the  powerful  short-wave  stations  on  the 
Atlantic  seaboard  of  the  United  States  is  good,  in  the  Azores  accord¬ 
ing  to  U.  S.  Consul  George  E.  Seltzer  at  St.  Michael.  The  best  re¬ 
ception  however,  it  from  the  short-wave  stations  in  London,  Paris, 
Berlin,  and  Rome.  No  difficulty  is  encountered  in  reception  from 
the  stations  in  Moscow,  Holland,  Madrid  and.  in  Lisbon.  The  best  re¬ 
ception  is  obtained  on  6,  9,  12,  and  22  megacycles.  There  is  no 
broadcasting  station  and  therefore  no  use  for  ultra  short-waves. 


XXXXXXXXXX 


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AUgUSI/ 


FCC  CHAIRMAN  RETURNS  FROM  THE  WEST 


Chairman,  James  L.  Fly,  of  the  Federal  Communications 
Commission  returned  to  Washington  after  attending  the  National 
Broadcasting  Association's  Convention  in  San  Francisco  and  in¬ 
specting  numerous  broadcasting  stations  in  the  West.  Also  the 
Don  Lee  television  station  in  Los  Angeles.  Mr.  Fly  said  it  was 
a  splendid  convention,  not  only  in  attendance  but  in  the  general 
attitude  of  working  out  problems  in  the  public  interest. 

Mr.  Fly  said  there  had  been  no  increase  of  program  com¬ 
plaints,  no  sign  of  hysteria  on  the  part  of  listeners,  because  of 
the  war.  Asked  if  the  broadcasters  were  working  on  a  plan  to  ex¬ 
clude  programs  sponsored  by  foreign  governments  he  said  this  had 
not  been  brought  to  the  attention  of  the  Commission.  Asked  if 
the  FCC  was  checking  up  on  Fifth  Column  complaints,  Mr.  Fly  said 
this  work  was  going  on  about  as  usual.  Asked  if  the  finger  prints 
of  radio  operators  would  be  submitted  to  the  Department  of  Justice, 
Mr.  Fly  said  there  was  no  reason  to  do  this  as  the  prints  were 
more  for  identification  purposes  by  the  Commission  itself. 

Mr.  Fly  said  that  the  matter  of  a  labor  advisor  to  the 
FCC  was  under  consideration  but  as  yet  no  one  had  been  named.  He 
expressed  satisfaction  with  the  progress  being  made  by  the  new 
National  Television  Committee.  Mr.  Fly  said  this  committee  was 
representative  of  the  entire  industry  and  that  things  were  moving 
along  very  well. 

The  Chairman,  when  asked  if  there  was  a  tendency  on  the 
part  of  stations  to  seek  a  boost  in  power  in  connection  with  the 
National  Defense  orogram,  said  he  had  heard  rumblings  of  that.  No 
date  had  been  set  for  the  putting  in  to  effect  of  the  North 
American  agreement  reallocations  but  the  FCC  was  working  on  that 
problem  also.  Mr.  Fly  concluded  by  saying  the  Commission  had  not 
yet  taken  up  the  Monopoly  Report  and  there  were  no  indications  As 
to  when  it  would. 

xxxxxxxxxx 


I.TR.  E.  TO  MEET  AUG.  28-30 

The  annual  convention  of  the  Institute  of  Radio  Engineers 
will  be  held  from  Aug.  28  to  30  at  Los  Angeles,  Calif.  The  pur¬ 
pose  of  the  meeting  is  to  provide  a  forum  for  the  exchange  of  ideas 
through  presentation  of  papers  prepared  by  engineers  in  radio  and 
allied  fields. 

Among  the  papers  to  be  offered  are: 

"Frequency  Modulation, "  Major  Edwin  H.  Armstrong  of  Col¬ 
umbia  University;  "A  500-kilowatt  High  Efficiency  Broadcast  Trans¬ 
mitter,  "  G.  L.  Beers,  RCA  Manufacturing  Co  ,  "Television  Receiver 
Characteristics,  11  C.  F  Wolcott,  Gilfillan  Brother,  Inc.  ,  and 
Portable  Television  Broadcasting,"  Harry  R.  Lubcke ,  Don  Lee  Broad¬ 
casting  System. 

XXXXXXXXXXX 

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August  20,  1940 


NATIONAL  RESEARCH  COUNCIL  RCA  FELLOWSHIP  ESTABLISHED 


A  Fellowship  for  the  investigation  of  biological  pro¬ 
blems  with  the  electron  microscope  recently  developed  in  the  RCA 
research  laboratories  has  been  established  in  the  National  Re¬ 
search  Council  through  funds  provided  by  the  RCA  Manufacturing 
Company . 


With  the  RCA  electron  microscope  it  is  possible  to  see 
minute  objects  that  are  20  to  50  times  smaller  than  can  be  seen 
with  the  finest  optical  microscope. 

In  considering  candidates  for  what  will  be  known  as  the 
RCA  Fellowship,  the  National  Research  Council  will  give  preference 
to  "versatile  young  men  of  United  States  citizenship,  who  have 
sound  training  in  micro-biology,  a  doctor's  degree  (Ph. D  or  M. D.  ) 
and  a  record  of  original  work.  11  The  RCA  Fellowship  is  for  the 
year  of  1940-41  and  will  carry  a  stipend! um  of  $3000.  The  work 
will  be  carried  on  at  the  research  laboratory  of  RCA  at  Camden,  N.J. 

"Our  purpose  in  establishing  the  RCA  Fellowship  in  the 
National  Research  Council  is  two- fold,  "  said  G-.  K.  Throckmorton, 
President  of  the  RCA  Manufacturing  Company.  "One,  to  help  further 
pioneering  research  on  biological  problems  that  may  lead  to  new 
conquests  in  man's  continual  battle  against  disease.  The  other, 
to  develop  the  best  technique  for  obtaining  the  fullest  benefits 
of  this  miraculous  new  instrument  which  is  now  available  to  re¬ 
search  workers  in  all  fields. " 


With  this  insturment,  it  is  possible  to  obtain  useful 
magnification  of  objects  up  to  100,000  diameters.  Ordinarily, 
useful  magnification  of  objects  under  optical  microscopes  cannot 
be  achieved  above  1500  diameters  in  ordinary  light,  or  above  2500 
diameters  in  ultra-violet  light,  because  resolution,  or  sharpness 
of  definition,  is  lost  beyond  this  point. 

xxxxxxxxxx 


NEW  SAN  FRANCISCO  NBC  SALES  DIVISIONS 


In  keeping  with  the  recent  separation  of  the  sales  organ¬ 
ization  of  the  National  Broadcasting  Company,  KGO  and  KPO  are 
making  a  corresponding  division  in  the  San  Francisco  NBC  offices. 


Assistant  Vice-President  A1  Nelson,  general  manager  of 
the  NBC  Station  in  San  Francisco,  has  just  made  this  announcement 
and  has  designated  Gone  Grant  to  head  up  the  Blue  Network  group 
and  Harry  Bucknell  to  have  the  corresponding  position  with  rela¬ 
tion  to  the  Red  Network.  Bill  Ryan  remains  genera!  sales  manager. 
This  action  follows  a  series  of  conferences  between  Nelson,  Presi¬ 
dent  Niles  Trammel,  Vice-President  Ed  Kobak  and  other  executives 
of  NBC  who  were  on  the  coast  for  the  recent  convention  of  the 
National  Association  of  Broadcasters.  Bucknell  was  formerly  office 
manager  and  space  buyer  for  Lord  and  Thomas  in  San  Francisco.  He 
joined  the  Sen  Francisco  Chronicle  as  advertising  oromotion  manager 
in  1934.  XXXXXXXXXX 

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NEW  RULES  GOVERNING  FIXED  RADIO  SERVICES 


The  Commission  on  August  14,  1940,  adopted  the  following 
new  rule  governing  the  fixed  radio  services,  effective  Seotember 

1,  1940: 


"Sec.  6.37  Call  letters,  transmission  of.  Every  point- 
to-point  telegraph  and  telephone  station  in  the  fixed  public  and 
fixed  public  press  services  shall  transmit  three  times  in  success¬ 
ion  at  half  hourly  intervals  during  each  24  hour  period  the  iden¬ 
tifying  call  letters  of  the  frequency  or  frequencies  below  50,000 
kilocycles  on  which  transmissions  a re  taking  place.  This  trans¬ 
mission  shall  be  made  within  the  period  ten  minutes  before  and 
ten  minutes  after  the  hour  and  half  hour  under  the  following  con¬ 
ditions  : 


Point-to-Point  Telegraph  Stations 

(a)  The  transmission  shall  be  made  in  international 
Morse  code  utilizing  either  type  A-l  or  type  A-2  emission  at  a 
transmission  speed  not  to  exceed  twenty-five  words  per  minute  with¬ 
out  the  use  of  multiplexing,  tape  facsimile,  printer  or  other 
similar  equipment  or  methods  of  operation  during  such  period  and 
shall  consist  of  transmitting  the  signal  "QRA  de "  followed  by 

the  call  letters. 

(b)  Point-to-point  telegraph  stations  engaged  in  a 
radiophoto  or  an  Addressed  Program  transmission  shall  not  be  re¬ 
quired  to  transmit  identifying  call  letters  during  the  period 
when  such  identification  would  interrupt  the  continuity  of  the 
program  or  radiophoto  that  is  being  transmitted.  In  any  such 
case  the  identifying  call  letters  shall  be  transmitted,  as  out¬ 
lined  above,  immediately  following  the  conclusion  of  the  program 
or  radiophoto. 

Point-to-Point  Telephone  Stations 

(a)  The  transmission  shall  be  made  emoloying  either  type 
A-l,  A-2  or  A-3  emission;  provided,  however,  when  utilizing  type 
A-l  or  A-2  emission  the  transmission  shall  be  made  in  international 
Morse  code  at  a  transmission  speed  not  to  exceed  twenty-five  words 
per  minute  and  shall  consist  of  transmitting  the  signal  "QRA  de " 
followed  by  the  call  letters.  When  utilizing  type  A-3  emission, 

all  privacy  or  secrecy  devices  shall  be  removed  from  the  transmitter 
input  circuit  during  such  period  and  the  announcement  shall  be  made 
in  the  following  order:  "This  is  station  (Call  letters)." 

(b)  Point-to-point  telephone  stations  continuously  en¬ 
gaged  in  a  public  telephone  message,  radiophoto,  or  an  Addressed 
Program  transmission  shall  not  be  required  to  transmit  identifying 
call  letters  during  the  period  when  such  identification  would  inter¬ 
rupt  the  continuity  of  the  message,  radiophoto,  or  program  that  is 
ceing  transmitted.  In  any  such  case  the  identifying  call  letters 
shall  be  transmitted,  as  outlined  above,  immediately  following  the 
conclusion  of  the  message,  radiophoto,  or  program." 


xxxxxxxxxx 

-  11  - 


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1 

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August  20,  1940 


TRADE  NOTES: : 


Construction  permit  has  been  issued  for  a  new  station 
to  the  Star  Printing  Company  of  Miles  City,  Montana,  on  1310 
kilocycles  with  250  watts  power  unlimited  time 


Station  WTAD  at  Quincy,  Ill  has  been  authorized  to 
operate  on  900  kilocycles  with  1  kilowatt  power  using  directional 
antenna  at  night. 


There  will  be  no  meeting  of  the  Federal  Communications 
Commission  this  week  due  to  several  vacation  absences. 


The  Bureau  of  Foreign  and  Domestic  Commerce  in  its 
series  "World  Ra.dio  Markets"  had  just  issued  a  report  on  Iceland 
by  U.  S.  Consul  R.  Borden  Reams  at  Copenhagen. 


Also  as  a  part  of  the  "World  Radio"  series  the  Bureau 
has  issued  a  copy  of  new  radio  regulations  in  Chile  (new  provisions 
added  to  Article  84  and  108  of  the  Chilean  regulations  governing 
radio  communication  in  that  country. ) 

sf  - 

H.  M.  Seville,  Jr  ,  director  of  research  for  the  National 
Broadcasting  Company,  New  York,  spoke  at  a  special  luncheon  meeting 
of  the  American  Marketing  Association  on  "Market  Research  in  Radio" 
in  San  Francisco.  Beville  made  special  explanation  of  the  nation¬ 
wide  postcard  survey,  about  to  be  released.  — — 


Daylight  Saving  Time,  also  known  as  Summer  Time,  ends 
in  many  parts  of  the  United  States  on  Sunday,  September  29.  On 
that  da.te,  3:00  a.m.  ,  Eastern  Daylight  Saving  Time  will  automatic¬ 
ally  become  2:00a.m.,  Eastern  Standard  Time. 


-  12  - 


'•.k  '■ 


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•  ..  .  -  J.  . .  1 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


Thad  Brown  Hearings  Believed  Near  End 


8 


Opposes  FCC  Investigation  Service . 3 

Is  Mr.  Willkie  a  Good  Radio  Speaker? . 3 

WMCA-WRUL  Cheer  British . 5 

International  Operators  Must  Prove  Citizenship . 6 

FCC  Sidesteps  ASCAP  Row . 6 

American  Sets  Predominate  India  Since  War . 7 

Operators  Citizenship  Questions  Answered . 7 

WOR  Transcriptions  Aid  Enlistments . 8 

CBS  Speeds  Construction  of  New  WABC  50,000-Watt  Transmitter.  ...  9 

Fly  Attends  Elsa  Maxwell  Televise . 10 

Many  New  FM  Stations  Planned . 11 


Boys  Compete  For  RCA  Scholarships . 18 

From  the  FCC  Mail  Bag . 18 

Trade  Notes . 13 


No.  1860 


August  23,  1940 


THAD  BROWN  HEARINGS  BELIEVED  NEAR  END 


After  continuing  intermittently  for  the  past  two  months 
breaking  all  records  in  point  of  time  that  such  an  official  has 
been  left  dangling  between  heaven  and  earth  it  is  believed  the 
end  is  in  sight  of  the  hearings  to  determine  the  fitness  of  Col. 
Thad  H.  Brown  to  be  reappointed  to  a  7  year,  $10,000  a  year  term 
on  the  Federal  Communications  Commission. 

Sessions  during  the  past  week  were  cancelled  because  of 
the  active  part  Senator  !!7heeler,  Chairman  of  Interstate  Commerce 
Committee  and  others  have  had  in  the  conscription  debate.  There 
may  be  still  more  delays  but  it  is  predicted  the  committee  may 
make  its  report  within  another  week  or  so. 

Although  Senator  Charles  W.  Tobey  ( R)  of  New  Hampshire, 
who  thus  far  almost  single  handed  has  blocked  the  appointment  of 
Brown,  also  a  Republican  doesn't  reveal  his  plans  in  advance,  the 
belief  is  only  a  few  more  witnesses  will  be  heard  in  connection 
with  the  RCA  angle  of  the  case.  Whether  former  Senator  George 
H.  Moses  of  New  Hampshire  mail  be  summoned  if  he  doesn't  come 
forth  voluntarily,  seems  to  be  largely  up  to  Senator  Tobey.  There 
again  oddly  enough  both  are  Republicans  and  both  from  the  same 
state.  Old  political  rivals  in  fact  and  to  this  has  been  attribut¬ 
ed  Senator  Tobey 's  particular  zeal  in  following  up  all  the  Moses 
clues.  Moses  and  a  Republican  colleague  former  Senator  Daniel  0. 
Hastings  of  Delaware  were  charged  with  being  compensated  in  1932 
by  the  RCA  for  an  attempt  the  Radio  Corporation  made  to  have  an 
anti-trust  case  continued  then  pending  in  the  Federal  Court  at 
Wilmington.  Also  there  were  other  alleged  pay-offs  including 
Federal  Clerk  of  Court,  Harry  Mahaffy.  Senator  Hastings  and 
practically  everyone  else  accused  has  testified,  but  up  to  this 
writing,  Senator  Moses  has  not  appeared. 

Cnee  the  RCA  angle  is  disposed  of  it  is  expected  that 
Col.  Brown,  whose  term  of  office  has  long  since  expired  and  who 
is  no  longer  on  the  Government  payroll,  will  be  recalled  and  asked 
regarding  certain  sensational  developments  in  the  RCA  case  of  mrhich 
Brown  previously  claimed  to  have  no  knowledge.  That  Col.  Brown 
will  receive  another  scorching  on  the  witness  stand  at  the  hands 
of  Senator  Tobey  is  a  foregone  conclusion. 

At  that  the  impression  gathered  from  the  senators  is 
that  Brown  will  probably  be  reported  favorably  by  the  Committee 
and  if  so  eventually  confirmed  by  the  Senate.  Even  so,  it  may  not 
be  so  easy  to  put  the  nominee  over.  "Col.  Brown  has  embarrassed 
the  President  and  the  Senators  very  much  by  hanging  on"  a  high 
official  remarked  to  this  -writer,  "He  could  easily  have  avoided 


_  &  « 


8/23/40 


this  embarrasnent  not  only  to  the  Administration  but  to  RCA,  Col¬ 
umbia  and  the  entire  radio  industry  by  quietly  asking  the  Presi¬ 
dent  to  withdr  w  his  name,  but  he  has  chosen  to  stick  it  out  and 
a  terrible  mess  has  resulted.  " 

Even  if  the  Senate  Committee  reports  the  nomination 
favorably  it  is  believed  Senator  Tobey  will  later  make  a  red  hot 
speech  on  the  floor  of  the  Senate  against  favorable  action.  If 
so  and  the  Republicans  should  win  in  the  Fall,  this  might  lay  the 
ground  work  for  an  investigation  of  the  entire  raxlio  industry 
next  year.  If  we  go  into  the  war,  however,  this  and  most  every¬ 
thing  else  would  be  sidetracked. 

XXXXXXXXXX 


OPPOSES  FCC  INVESTIGATION  SERVICE 


Vigorous  objection  to  the  new  Investigation  Service  of 
the  Federal  Communications  Commission  was  raised  by  Representative 
John  Taber,  (R)  of  New  York,  in  discussing  the  large  allotment 
made  to  the  Federal  Bureau  of  Investigation. 

"Since  this  session  of  Congress  began  the  Congress  has 
appropriated  upward  of  $10,000,000  to  J.  Edgar  Hoover,  of  the 
F.B.I.  to  followup  subversive  activities,"  Representative  Taber 
declared  addressing  the  House.  "The  other  day  the  President 
allocated  out  of  the  defense  moneys,  out  of  the  $200,000,000  car¬ 
ried  in  the  war  bill,  $1,600,000  to  the  Federal  Communications 
Commission,  and  they  have  set  up  a  duplicating  detective  agency 
under  Mr.  David  Lloyd,  formerly  chief  counsel  of  the  La  Follette 
civil  liberty  committee,  to  followup  "fifth  columnists"  in  radio. 
Mr.  Edgar  Hoover  is  doing  that  job;  he  has  written  about  it  in 
the  American  magazine  for  August.  It  is  perfectly  ridiculous  that 
the  President  cannot  cooperate  with  the  Congress  and  keep  faith 
on  national  defense  and  stop  wasting  the  money  in  that  way.  " 

XXXXXXXXXX 
IS  MR.  WILLKIE  A  GOOD  RADIO  SPEAKER? 


Although  this  writer  while  admitting  that  Mr.  Willkie 
was  no  orator  and  entirely  different  than  President  Roosevelt, 
was  convincing  as  a  radio  speaker  and  though  still  a  novice,  had 
succeeded  in  successfully  projecting  his  personality  and  his 
sincerity  over  the  air  in  the  Elwood  speech,  some  others  were  not 
so  favorably  impressed. 

"The  Willkie  acceptance  speech  was  better  in  the  news¬ 
papers  than  it  was  on  the  air  It  must  be  read  in  type  to  be 
appreciated.  Whereas  President  Roosevelt’s  remarks  gain  in  effectt- 
iveness  by  delivery  over  the  air,  Mr.  Willkie  ’  s  lose."  Raymond 
Clapper  wrote  in  the  Scripps-Howard  Newspapers. 


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"The  very  real  merits  of  the  Willkie  acceptance  speech 
were  muffled  by  the  sloppy  delivery,  with  frequent  stumbling  and 
slurring  of  words.  The  effect  of  this  upon  Republicans  and  Willkie 
worshipers  here  at  this  small  summer  resort  was  one  of  pain  end 
disapointment.  They  had  no  specific  suggestions  as  to  the  content 
of  the  speech.  They  said  that  it  somehow  just  didn't  measure  up, 
didn't  give  them  a  thrill,  didn't  have  the  lift  they  had  expected. 

That  was  about  ell  one  could  get  out  of  these  friendly  critics,  but 
inasmuch  as  they  are  all  Roose velt-haters  of  long  standing  and  had 
been  intensely  proud  of  Willkie,  I  regard  their  reaction  as  a  sig¬ 
nificant  index.  I  found  that  some  changed  their  opinion  about  the 
speech  after  reading  it  in  the  newspapers  the  next  morning,  and 
thought  it  far  better  than  they  had  at  first  realized. " 

"The  fact  is  that  Mr.  Willkie  is  being  judged,  as  was 
Alf  Landon  4  years  ago,  by  the  Roosevelt  standard  of  radio  crooning. 
The  middle- we  stern  homespun  style  doesn't  appear  to  have  the  appeal 
of  the  tailored  Roosevelt  speech.  Mr.  Roosevelt  probably  could  have 
taken  the  Willkie  script  and  made  it  sing.  This  all  seems  silly  to 
me,  but  if  people  are  going  to  be  swayed  by  the  cut  of  a  radio  voice, 
then  the  fact  has  to  be  taken  into  account  Mr.  Willkie  might  well 
hope  that  President  Roosevelt  ignores  his  challenge  to  joint  debate. 

\ 

"Radio  circles  confirm  the  general  impression  that 
Wendall  L.  Willkie  as  a  radio  personality  suffers  greatly  in  com¬ 
parison  with  President  Roosevelt, "  according  to  "Variety. "  "Opinions 
are  based  on  the  acceptance  spe  ech  by  Willkie  in  El wood,  Indiana, 
which  was  broadcast  by  all  the  networks. 

"Willkie1 s  acceptance  speech,  however,  got  a  rating  from 
the  Co-operative  Analysis  of  Broadcasting  of  37.8.  The  percentage 
represents  21,000,000  homes.  It's  the  largest  rating  ever  recorded 
by  the  CAB  on  a  political  speech.  Gov.  Landon’ s  acceptance  spiel 
in  1936  garnered  a  rating  of  28. 5, and  that  was  at  10:30  p.m. " 

"CAB  has  never  checked  an  acceptance  speech  of  President 
Roosevelt,  but  the  highest  he  has  received  on  a  campaign  talk  (Oct. 

10,  1936)  was  24.6.  President  Roosevelt's  Charlotts ville  address 
(June  10,  1940)  drew  a  record  45.5.  " 

"It  was  noticeable  that  even  the  strong  Willkie-ites  on 
the  dailies  commented  Monda.y  on  the  Republican  candidates  unfavorable 
radio  impression.  General  Hugh  Johnson,  once  a  New  Dealer  and  now 
jj  columnist  for  the  Scripps-Howard  papers,  which  are  definitely  pro- 
Willkie,  stated  th^t  Willkie  is  doomed  to  failure  next  November  un¬ 
less  he  greatly  improves  his  radio  stance.  " 

"Show  biz  in  general  is  not  greatly  impressed  by  Willkie 
after  hearing  his  speech.  Consensus  is  that  he's  a  road-company 
Franklin  D.  Roosevelt.  " 


m  Arthur  Krock,  wrote  in  oart  as  follows  in  the  New  York 

Times: 


-  4 


8/23/40 


,!It  happens  that  Mr.  Willkie  is  a  gifted  and  impressive 
speaker  when  he  is  not  hound  by  a  prepared  address.  From  rough 
notes  and  from  memory  he  can  compose  and  deliver  an  impromptu  ad¬ 
dress  which  has  all  the  qualities  and  effects  of  high-grade  oratory. 
The  necessities  of  Elwood  did  not  permit  the  employment  of  this 
talent.  Each  word  was  of  the  highest  importance,  and  the  microphone 
and  the  radio  were  at  hand  to  register  any  lapse  of  grammar  or  con¬ 
fusion  of  syntax.  Also,  by  custom  the  speech  must  be  general." 

"The  set  of  restrictions — and  the  intense  heat — were 
probably  responsible  for  faults  of  delivery  which  no  audience  of 
Mr.  Willkie * s  has  ever  noted  before.  When  he  gets  down  to  specifi¬ 
cations,  and  can  permit  himself  to  ad  lib.  and  put  aside  manuscript, 
the  probability  is  that  the  source  of  some  of  the  disappointment  ex¬ 
pressed  after  the  Elwood  speech  will  be  eliminated.  Mr.  Willkie  is  a 
very  natural  man  who  has  been  used  to  speaking  without  previous  for¬ 
mal  composition.  The  handicap  of  Elwood  can  easily,  therefore,  be 
turned  into  an  asset  of  the  campaign.  " 


"Any  persons,  however,  who  have  deprecated  the  value  of 
the  "golden  voice"  and  the  Grot on- Harvard  accent  of  the  President 
must  now  realize  that  these  are  politically  effective.  The  President 
is  a  masterly  reader,  which  Mr.  Willkie  yet  is  not.  Inquiry  among 
groups  of  the  Republican  candidate’s  admirers  after  they  had  read 
the  speech — having  expressed  disappointment  just  after  they  heard  it  — 
developed  the  general  fact  that  it  was  delivery,  not  content,  which 
was  really  disturbing  them. " 


"For  this  popular  devotion  to  a  high  elocutionary  stan¬ 
dard  the  President's  voice,  accent  and  skill  as  a  reader  are  respon¬ 
sible.  Until  he  came  to  the  national  forum  the  public  was  content 
with  the  Midwest  slurrings  of  Mr.  Harding,  the  Yankee  twang  of 
Mr.  Goolidge  and  the  muffled  tones  of  Mr.  Hoover,  his  every  sentence 
ending  on  a  downward  note.  But  Mr.  Roosevelt  expanded  faultless 
oratory  to  the  huge  dimensions  of  the  radio.  Thus  he  made  public 
reception  more  difficult  for  a  competitor.  But  in  a  debate  released 
from  slavish  fidelity  to  text,  Mr.  Willkie  is  himself  a  powerful 
speaker  of  another  school.  This  will  surely  be  proved  as  the  campaign 
gets  under  way.  " 


xxxxxxxxxxx 


WMCA-WRUL  CHEER  BRITISH 


A  series  of  inspirational  talks  addressed  to  the  British 
people  in  their  "hour  of  trial"  was  introduced  last  Monday  in  New 
fork  by  Station  WMCA  and  the  World  Wide  Broadcasting  Foundation 
through  WRUL,  its  short-wave  station  in  Boston.  Entitled  "Atlantic 
friendship  Bridge"  the  programs  will  be  broadcast  Mondays  through 
fridays  at  4p.m.  EST  from  studios  at  station  WMCA  at  1657  Broadway. 

As  master  of  ceremonies,  Walter  S.  Lemmon,  founder  and  president  of 
the  foundation,  gave  the  first  message  of  "Helpfulness  and  reasurance.1' 
ponald  Flamm,  president  of  WMAC,  who  donated  use  of  the  studios  for 
the  series  was  the  next  to  be  heard.  Other  speakers  were  Gerald  Cock, 
American  representative  of  the  British  Broadcasting  Corporation  in 
New  York;  Raymond  Gram  Swing,  commentator,  and  William  Ruxton,  presi¬ 
dent,  and  Mrs.  Kirkbride,  sec’y  of  British- American  Ambulance  Corps. 

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INTERNATIONAL  OPERATORS  MUST  PROVE  CITIZENSHIP 


In  order  ho  establish  the  citizenship  status  of  employees 
of  radio-telegraph  and  cable  companies  handling  international 
communications,  the  Federal  Communications  Commission  is  enlist¬ 
ing  the  cooperation  of  such  companies  in  having  these  workers  fill 
out  a  jointly-compiled  questionnaire  and  furnish  photographs  and 
fingerprint  records  This  information  is  akin  to  that  required  of 
commercial  and  amateur  radio  operators  in  connection  with  the  co¬ 
ordinated  national  defense  program. 

Proof  of  citizenship  and  accompanying  identification  are 
not  desired  of  all  communication  company  employees;  but  only  of 
those  who,  in  the  course  of  their  duties,  handle  international 
messages  or  have  access  to  information  passing  over  international 
circuits.  The  need  for  such  data  was  mutually  agreed  in  recent 
conferences  between  representatives  of  the  companies  and  the 
Commission. 

It  is  estimated  that  about  30,000  employees  are  affected. 
Companies  concerned  .are  Commercial  Pacific  Cable  Co. ;  Commercial 
Cable  Co.;  All  America  Cables  and  Radio,  Inc.;  Western  Union  Tele¬ 
graph  Co. ;  American  Telephone  and  Telegraph  Co. ;  Mackay  Radio  and 
Telegraph  Co.  ;  Tropical  Radio  Telegraph  Co. ,  and  Radio  Corpora¬ 
tion  of  America. 

As  a  result  of  consultation  with  these  companies,  special 
forms  have  been  worked  out  for  the  purpose,  Questionnaire  for 
Employees  of  Communications  Companies, "  and  fingerprint  and  photo¬ 
graph  record. 

These  forms  will  be  supplied  in  number  to  each  company 
to  take  care  of  the  necessary  personnel.  The  companies  have  in¬ 
dicated  that  they  will  assist  their  respective  employees  to  ex¬ 
ecute  the  forms  with  the  least  possible  inconvenience.  In  certain 
cases  the  local  Federal  Communications  Commission  office  will  send 
men  to  offer  facilities  and  other  aid. 

As  in  the  case  of  commercial  and  amateur  radio  operators, 
forms  will  be  mailed  to  the  Commission’s  Washington  officer  for 
permanent  record.  However,  in  the  case  of  communnication  company 
employees  the  supervision  of  filling  out  the  forms  and  mailing 
them  to  the  Commission  will  be  under  company  direction,  without 
direct  concact  between  the  individual  employee  and  the  Commission. 
This  extension  of  proof-of-ci tizenship  requirement  is  necessary 
for  effective  policing  of  communications  in  the  present  emergency. 

X  X  X  X  X  X  X  X  X  X 
FCC  SIDESTEPS  AS CAP  ROW 

Two  letters  from  Michigan  complain  to  the  Federal  Commu¬ 
nications  Commission  of  alleged  monopoly  in  the  music  publishing 
field  and  of  certain  action  by  a  radio  station  with  respect  to  a 
musicians’  union.  The  reply  was  that  these  are  matters  over  which 
the  Commission  has  no  jurisdiction. 

XXXXXXXXXX 


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AMERICAN  SETS  PREDOMINATE  INDIA  SINCE  WAR 


Pinas  in  India,  according  to  the  American  Consulate, 
Bombay,  which  prior  to  the  present  war  had  been  handling  German 
radios,  have  recently  received  agencies  from  American  and  British 
manufacturers.  No  fewer  than  25  Anerican,  10  British,  4  German, 

1  Netherland,  and  several  Japanese  makes  are  sold  there. 

The  fairly  large  demand  for  radio  receiving  sets  in  this 
district  is  supplied  entirely  by  imports.  During  the  year  ended 
March  1938,  radio  receiving  sets  imported  into  Bombay  were  valued 
at  1,739,554  rupees  ($655,811).  In  the  10  months  ended  January  51. 
1940,  imports  of  fully  assembled  radio  sets  into  India  were  valued 
at  1,970,787  rupees,  of  which  the  principal  suppliers  were  the 
United  States  (42  percent),  the  United  Kingdom  (29)  and  the  Nether-- 
lands  (20). 

An  idea  of  the  size  of  the  radio  market  can  also  be  gain¬ 
ed  from  the  fact  that  there  are  in  British  India  approximately 
90,000  licensed  radio  receiving  sets,  of  which  more  than  one- third 
are  believed  to  be  in  the  Bombay  district. 

XXXXXXXXX 


OPERATORS  CITIZENSHIP  QUESTIONS  ANSWERED 


The  Federal  Communications  Commission  has  received  many 
inquiries  for  further  information  regarding  its  order  to  each  radio 
operator  ~  commercial  or  amateur  -  a  total  of  over  100,000  operators 
to  submit  proof  of  citizenship  -  a  national  defense  precaution. 

The  da.te  now  set  for  compliance  with  this  order  is  September  15. 

Instances  have  been  reported  to  the  Commission  in  the 
many  letters  received  in  which  an  operator  having  theretofore  be¬ 
lieved  himself  to  be  a  citizen  of  the  United  States  and  having  so 
affirmed,  discovered,  that  he  was  in  fact  an  alien  and  was  not  and 
had  never  been  entitled  to  the  license  which  he  held.  Under  such 
circumstances  the  only  proper  course  of  action  the  FCC  advises  is 
to  submit  his  license  for  cancellation,  advising  the  Commission  of 
the  circumstances.  Furthermore,  continued  reliance  upon  a  false 
claim  of  citizenship  would  subject  such  persons  to  penalty  by  im¬ 
prisonment  and  fine  under  the  Criminal  Code  which  provides  that 
such  penalties  shall  be  imposed  upon  "whoever,  for  any  fraudulent 
purpose  whatever,  shall  falsely  represent  himself  to  be  a  citizen 

of  the  United  States  without  having  been  duly  admitted  to  citizen¬ 
ship.  11 


Operators  holding  more  than  one  license,  such  as  a  radio¬ 
telegraph  and  radiotelephone,  or  a  commercial  and  an  amateur  class, 
have  inquired  whether  it  is  necessary  to  submit  a  separate  response 
for  each  such  license.  This  is  not  necessa.ry. 


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8/23/40 


The  order  doqs  apply  to  the  holder  of  a  radio  operators 
license  or  permit  of  any  class.  Thus,  a  person  holding  only  a  re¬ 
stricted  radiotelephone  operator  permit  or  radiotelephone  third 
class  should  respond.  Service  in  the  military  forces,  police  de¬ 
partments,  or  other  organizations,  does  not  exempt  a  licensee  from 
compliance . 


Inquiries  relating  to  the  submission  of  valuable  persona.!, 
papers  such  as  birth  or  baptismal  certificates,  na turalization 
certificates,  passposts,  marriage  certificates,  etc.,  have  also  bee.-’, 
received.  Whenever  possible  original  certificates  and  records 
should  be  submitted  to  the  Comission  by  registered  mail.  They  will 
be  returned  when  they  have  served  their  purpose. 

It  should  be  noted,  however,  that  it  is  unlawful  to  make 
any  copy  of  any  certificate  of  naturalization  or  of  derivative 
citizenship.  When  it  is  impracticable  or  undesirable  to  forward 
original  naturalization  or  derivative  citizenship  certificates, 
they  may  be  presented  for  examination  to  any  office  of  the  Commiss¬ 
ion.  In  the  alternative,  where  the  operator  has  been  issued  a  cer¬ 
tificate  of  naturalization  or  of  derivative  citizenship  of  the 
notary  public  or  other  duly  authorized  official  before  whom  the 
response  has  been  affirmed,  stating  over  his  seal  that  he  has  exam¬ 
ined  the  original  certificate  and  found  it  to  be  accurately  describ¬ 
ed  in  the  response  to  the  questionnaire  and  that  he  believes  the 
affiant  to  be  the  person  named  in  such  certificate. 

Certificates  of  derivative  citizenship  may  be  obtained 
upon  application  to  the  Department  of  Justice,  Immigration  and 
Naturalization  Service,  Washington,  D. C.  It  is  unquestionably  to 
the  advantage  of  any  person  who  claims  citizenship  through  natural¬ 
ization  of  parent  or  husband  to  obtain  such  a  certificate.  Although 
the  possession  of  a  certificate  does,  the  filing  of  an  application 
for  such  a  certificate  does  not  relieve  the  operator  from  submitting 
to  the  Commission  the  other  documentary  evidence  required. 

In  every  case  a  person  responding  to  the  order  should 
submit  completed  forms  including  fingerprints  taken  by  appropriate 
officials.  It  is  not  acceptable  to  refer  to  fingerprints  already 
on  file  in  some  other  Federal  or  State  agency.  Postmasters  at 
county  seats  or  post  officer  of  the  first  or  second  class  may  take 
fingerprints. 

xxxxxxxxx 

WOR  TRANSCRIPTIONS  AID  ENLISTMENTS 

The  WOR  Transcription  Service  is  recording  four  fifteen 
minute  disks  of  talks  delivered  by  Col.  Fra.nk  Knox,  secretary  of 
the  Navy;  Robert  Patterson,  assistant  secretary  of  War;  Col.  Hugh 
S.  Johnson;  and  Col.  Julius  Ochs  Adler,  civilian  aid  to  the  Secre¬ 
tary  of  War.  The  transcribed  talks  which  urge  enlistment  in  the 
Army  and  Navy  and  training  camps,  are  sponsored  by  the  Military 
Training  Camps  Association  and  are  being  shipped  to  over  200  static- 
to  be  aired  as  sustaining  features. 

XXXXXXXXX' 


8/23/40' 


CBS  SPEEDS  CONSTRUCTION  OF  NEW  WA3C  50, 000- WATT  TRANSMITTER 


Construction  of  Station  WABC : s  new  50,000-watt  trans¬ 
mitter  on  Little  Pea  Island  in  Long  Island  Sound  has  been  ordered 
full  speed  ahead  by  the  Columbia. 

Starting  of  actual  construction  of  the  $500,000  project 
was  made  possible  by  completion  of  legal  steps  transferring  title 
of  the  land  to  CBS.  Blasting  operations  to  make  way  for  building 
of  the  great  sea-walls  for  a  new  man-made  island  to  hold  the  trans¬ 
mitter  building  and  broadcasting  tower  were  immediately  put  under 
way. 


Little  Pea  Island,  acquired  from  the  Hugenot  Yacht  Club, 
is  nothing  more  than  a  few  jagged  rocks  projecting  out  of  Long 
Island  Sound  at  high  tide  about  a  mile  off  New  Rochelle.  All 
these  rocks  now  projecting  above  water  will  be  blasted  away,  and  in 
their  place,  an  island  150  feet  square  will  be  built  within  concrete 
walls  extending  16-|  feet  above  the  water  at  mean  low  tide.  And 
upon  this  island  will  built  the  world's  most  modern  transmitter  and 
broadcasting  tower,  replacing  WABC ' s  present  transmitter  at  Wayne, 

N.  J. 


Construction  of  a  new  transmitter  for  WABC  was  decided 
upon  by  Columbia  as  a  measure  to  improve  its  broadcasting  service 
to  the  public  and  to  widen  its  listening  area.  Engineers,  working 
with  maps,  first  ma.de  a  study  to  determine  the  ideal  location  for 
a  radio  transmitter  to  serve  metropolitan  New  York  and  the  station' s 
whole  listening  area.  This  study  resulted  in  designation  of  one- 
mile  circle  in  Long  Island  Sound  near  New  Rochelle. 

The  next  step  was  to  make  a  survey  of  this  area  by  air¬ 
plane  to  determine  the  best  available  place  within  its  limits  to 
build  the  broadcasting  plant,  and  this  survey  resulted  in  selection 
of  Little  Pea  Island,  within  a  fraction  of  a  mile  of  the  exact 
center  of  the  area  originally  outlined  by  the  engineers. 

The  new  site  will  afford  WA3C*s  signal  a  direct,  sea¬ 
water  path  to  the  great  Metropolitan  area  of  New  York,  Long  Island, 
Westchester,  Connecticut,  New  Jersey  and  Pennsylvania.  The  ground 
system  will  be  immersed  in  Long  Island  Sound  so  that  the  body  of 
water  becomes  a  pa.rt  of  the  technical  function  of  the  station. 

The  transmitter  itself  will  incorporate  the  latest  proven 
designs  in  broadcasting  equipment.  Housed  in  a  ?5-foot  square 
building  whose  outside  walls  will  be  of  copper,  will  be  two  complete 
broadcasting  units,  one  the  regular  50, 000- watt  transmitter,  and  the 
other,  a  5, 000- watt  unit  for  emergency  use.  Electric  power  for 
their  operation  will  be  supplied  through  two  independent  submarine 
cables  tying  in  with  separate  power  plants  to  insure  against  any 
interruption  of  service.  In  addition  to  these  the  plant  will  be 
equipped  with  its  own  engine- driven  generators  as  added  insurance 
against  power  failure. 


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Elaborate  safeguards  have  also  been  provided  to  insure 
uninterrupted  wire  service  carrying  Columbia's  programs  from  WABC ! s 
master  control  board  in  New  York  City  to  the  transmitter.  Two 
complete  sets  of  program  circuits  will  link  the  master  control 
board  with  the  island  through  separate  submarine  cables. 

Contracts  for  construction  of  the  island  and  the  trans¬ 
mitter  building  have  been  let  to  the  W.  J.  Barney  Construction 
Company  of  New  York,  while  the  work  of  building  the  transmitting 
equipment  itself  went  to  the  Federal  Telegraph  Company  of  Newark, 

N.  J.  Engineering  is  in  charge  of  Lockwood  Greene  Engineers,  Inc. 

Columbia’s  engineering  department  estimates  that  the  new 
plant  will  be  in  operation  in  about  10  months. 

XXXXXXXXXX 
FLY  ATTENDS  ELSA  MAXWELL  TELEVISE 


Elsa  Maxwell,  the  nation’s  No.l  party  giver,  introduced 
525-line  telerision  to  Southern  California’s  500  home  television 

set  owners  last  night  and  scored  another  triumph - this  time  for 

science  and  art.  An  interested  onlooker  at  the  telecast  which 
featured  the  new  step-up  in  television  definition  from  the  previous 
441 --line  quality  was  James  L.  Fly,  Chairman  of  the  Federal  Commun- 
i  ications  Commission,  who  was  en  route  from  the  National  Association 
of  Broadcasters  at  San  Francisco  to  his  headquarters  at  Washington. 

While  witholding  comment,  because  of  his  official  position 
l  the  Commissioner  was  said  to  have  indicated  keen  interest 'in  the 
intensive  activities  in  research  and  production  at  the  W6XA0  studies 
of  the  Don  Lee  Television  System. 

Miss  Maxwell  made  a  personal  appearance  before  the  W6XA0 
cameras  in  an  interview — her  first  time  on  television.  Later,  in 
another  act,  there  appeared  Gloria  DeHaven,  daughter  of  Carter  De- 
Haven,  veteran  actor.  Twelve  acts  and  two  motion  picture  films 
were  the  fare  offered  "lookers"  who  saw  for  the  first  time  525-line 
television. 

Thomas  S.  Lee,  owner  of  W6XA0,  one  of  the  two  most  active 
television  stations  in  the  United  States,  announced  that  Harry  R. 
Lubcke,  Director  of  Television,  had  achieved  a  tremendous  task  in 
stepping  up  the  transmitter  to  the  higher  definition  without  more 
than  a  twenty-four  hour  lapse  in  transmission  time.  Thus  the  station 
will  continue  its  f ourteen~hours-and~a-half-a-week  schedule  without 
further  interruption  throughout  the  summer. 

XXXXXXXXXX 
-  10  - 


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MANY  NEW  FM  STATIONS  PLANNED 


The  following  is  a  list  of  groups  that  have  filed  appli¬ 
cations  with  the  Federal  Communications  Commission  to  construct  FM 
stations  within  the  next  few  months: 

Star-Times  Publishing  Co.,  St.  Louis,  Missouri  43.1 
megacycles,  to  cover  9,900  sq.  miles.  James  F.  Hopkins,  Inc., 
Detroit,  Mich.  46.5  megacycles,  to  cover  3,050  sq.  miles.  Marcus 
Loew  Booking  Agency  (WHN),  New  York  City  43.5  megacycles,  to  cover 
12,949  sq.  miles.  Baton  Rouge  Broadcasting  Co.,  Baton  Rouge,  La. 
Station  on  44.1  megacycles,  to  cover  8,100  sq.  miles.  The  Journal 
Company  (WTMJ),  Milwaukee,  Wis.  43.9  megacycles  to  cover  15,642  sq. 
miles.  (The  Milwaukee  Journal  currently  operates  FM  station  W9XA0. 
50,000-watt  transmitter  expected  to  reach  60%  of  the  population  of 
Wisconsin,  operating  17  hours  a  da.y.  ) 

The  Chicago  Tribune  (WG-N),  Chicago,  Ill.  44.3  mega  cycle 
to  cover  16,822  sq.  miles.  (50,000- watt  FM  station  having  a  range 
up  to  100  miles  from  Chicago.  The  antenna  will  be  20  miles  outside 
of  Chicago.)  Moody  Bible  Institute  (WMBI)  Chicago,  Ill.  43.9  mega¬ 
cycles  to  cover  15,300  sq.  miles.  (50,000-watt  transmitter.) 

WBNS,  Inc.,  Columbus,  Ohio.  43.1  megacycles,  to  cover  12,400  sq. 
miles.  (WBNS  is  already  operating  FM  experimental  station  W8XVH. 

The  new  transmitter  will  have  10,000  watts  of  power.)  Alexandria 
Broadcasting  Co.,  Inc.  (KALB),  Alexandria,  La.  43.3  megacycles,  to 
cover  3,025  sq.  miles.  Howitt-Wood  Radio,  (WBNF),  Binghampton,  N.Y 
44.1  megacycles,  to  cover  18,000  sq.  miles.  Evansville  on  the  Air, 
Inc.,  (WGBF-WEOA),  Evansville,  Ind.  43.7  megacycles,  to  cover  8,397 
sq.  miles.  (10, 000- watts.  ) 

Zenith  Radio  Corporation,  Chicago,  Ill.  43.5  megacycles, 
to  cover  10,760  sq.  miles.  (Zenith  already  operates  the  only  ex¬ 
perimental  FM  transmitter  in  the  Chicago  area.  The  new  station 
will  have  4,500,000  people  within  listening  range.)  The  Evening 
News  Association  (WWJ),  Detroit,  Mich.  43.1  megacycles,  to  cover 
25,280  sq.  miles.  (There  will  be  5,641,000  people  in  the  region 
covered  by  this  station.)  The  Outlet  Company,  (WJAR),  Providence, 
R.I.  44.3  megacycles,  to  cover  16,370  sq.  miles. (A  population  of 
6,263,000  is  in  this  area.  Radio  Service  Corp.  of  Utah,  (KSL), 

Salt  Lake  City  44.7  megacycles,  to  cover  623  sq.  miles.  John  Lord 
Booth,  (WMBC) , ,  Detroit,  Michigan  on  44.1  megacycles,  to  cover 
4,400  sq.  miles. 

National  Broadcasting  Company,  New  York  City  43.9  mega¬ 
cycles  to  cover  16,880  sq.  miles.  (NBC  currently  operates  W2XWG- 
from  the  top  of  the  Empire  State  Building  in  New  York.  This  new 
station  will  replace  it,  and  be  capable  of  reaching  an  audience 
estimated  at  15,524,000.)  The  Yankee  Network,  Boston,  Mass.  43.9 
megacycles,  to  cover  35,500  sq.  miles.  (This  is  the  Yankee  Net¬ 
work^  second  station  operating  with  FM,  and  will  be  located  atop 
the  6000-foot  crown  of  Mount  Washington  in  the  White  Mountains  oZ 
New  Hampshire,  highest  point  east  of  the  Rockies.  It  is  expected 
that  installation  may  be  completed  before  winter  sets  in.  ) 


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The  Travelers  Broadcasting  Service  Corp.  (ITIC)  Hart¬ 
ford,  Conn.  43.9  megacycles,  to  cover  14,768  sq.  miles.  (ITIC 
currently  operates  an  experimental  FM  station,  W1XS0.  The  new 
transmitter  will  service  a  central  New  England  region  with  a 
population  of  4,893,00 0. ) 

Commercial  Radio  Equipemtn  Co.,  Kansas  City,  Mo.  44.9 
megacycles,  to  cover  2,995  sq.  miles.  WJJD,  Inc.,  Chicago,  Ill. 
44.7  megacycles,  to  cover  3,700  sq.  miles.  (This  FM  station, 
fourth  to  be  applied  for  in  the  Chicago  area,  is  expected  to  reach 
a  metropolitan  population  of  4,051,000  listeners.) 

xxxxxxxxxx 


BOYS  COMPETE  FOR  RCA  SCHOLARSHIPS 


Eleven  future  scientists  are  beginning  the  final  lap 
in  a  competition  which  will  bring  to  one  of  them  a  prize  of  a 
$4000  tuition  and  maintenance  scholarship  in  a  leading  engineering 
college.  The  boys,  June  high  school  graduates,  will  spend  the  re¬ 
mainder  of  August  in  New  York  and  Camden,  N.  J. ,  in  a  study  of  the 
laboratory  and  engineering  facilities  of  the  Radio  Corporation  of 
America,  sponsors  of  the  competition,  and  its  service  companies, 
the  RCA  Victor  and  R.  C.  A.  Communications. 

These  boys  were  chosen  from  more  than  2500  entrants  in 
every  state.  The  competition  was  so  keen  that,  while  only  ten  all¬ 
expense  trips  to  New  York  were  offered  for  preliminary  winners,  the 
judges  found  it  necessary  to  increase  the  number.  A  comprehensive 
course  of  instruction  in  radio  engineering  and  design,  broadcasting 
and  communication  technique,  as  well  as  a  wide  variety  of  carefully 
chosen  recreational  features,  has  been  planned.  At  the  end  of  the 
month  each  of  the  ten  boys  who  miss  the  big  scholarship  prize  will 
be  given  an  award  of  $100. 

XXXXXXXXXX 

FROM  THE  FCC  MAIL  BAG 

A  San  Francisco  woman  requests  the  Communications  Com¬ 
mission  aid  in  having  broadcast  stations  assist  her  in  locating  her 
missing  father.  The  Commission  is  not  authorized  to  require  radio 
stations  to  make  particular  announcement  of  this  sort.  However,  it 
suggests  that  the  woman  communicate  direct  with  the  broadcast  sta¬ 
tions  located  in  her  vicinity,  and  at  the  same  time  ask  the  local 
police  authorities  for  further  advice  and  assistance. 

XXXXXXXXXX 


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8/23/40 


TRADE  NOTES 


An  application  has  been  made  by  WFVD,  the  Debs  Memorial 
Radio  Fund  Station  in  New  York,  to  increase  its  power  from  1  to  5 
kilowatts  and  to  move  the  transmitter  from  Brooklyn  to  New  York  City. 


A  Pennsylvania  woman  wants  all  broadcasting  to  be  dis¬ 
continued  by  the  FCC  until  peace  returns  to  the  world. 


K3D,  owned  by  the  St.  Louis  Post-Dispatch,  requests  the 
Commission  to  increase  its  power  to  5  kilowatts  day  and  night,  to 
install  a  new  transmitter,  new  directional  antenna  for  night  use,  and 
to  move  transmitter  to  approximately  3  miles  west  of  Columbia,  Ill. 


RCA  Communications,  Inc.,  has  been  granted  temporary 
authority  to  communics/te  with  the  Government  stations  FYN  and  FYR 
at  Vicky,  France. 


Numerous  persons  requesting  the  1300-page  Monopoly  report 
on  chain  broadcasting  made  by  a  committee  of  the  Commission  a.re  in¬ 
formed  that  only  a  limited  number  of  copies  were  mimeographed,  and 
the  supply  has  long  since  been  exhausted.  The  of ficial . record  is, 
however,  open  to  public  inspection  at  the  Commission’s  Washington 
offices. 


ASCAP  affixes  to  each  letter  in  its  outgoing  mail  one  of 
the  new  Victor  Herbert  stamps.  In  the  left-hand  corner  of  the  en¬ 
velope,  where  the  address  of  the  Society  usually  is,  with  an  arrow 
pointing  to  the  stamp,  is  printed,  ” Victor  Herbert,  Founder  of  the 
American  Society  of  Composers,  Authors  and  Publishers .  N 


A  Philadelphia  man  thinks  he  is  entitled  to  a  prize  from 
one  of  the  radio  contest  programs. 


13  - 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


legal  department 
It?  11 

IE 


|  [Q)  I  (g  II 11 W  ii 
1  1 3  '340 

I 


INDEX  TO  ISSUE  OF  AUGUST  27,  1940 


Probe  Doubtful  Now;  May  Start  Something  Later . 2 

Denies  False  RCA  Report  Intent . 3 

Would  Know  Who  Pays  Commentators . 4 

Defense  Committee  Selection  Rests  With  President . .....5 

German  Television  Progress  Reported  Rapid . . . ..6 

Radio  Plan  To  Force  Roosevelt-Willkie  Debate  Suggested . 7 

Press  Survey  Shows  Willkie  Far  Ahead  of  F.  D.  R . 7 

CBS  to  Build  New  International  Station . ,8 

I.T. A  T.  Completely  Reinstated  in  Spain . 9 

RCA  Communications  Service  Emblems  Awarded . 10 

Trade  Notes . 11 


No.  1261 


■ 


' 


August  27,  1940 


PROBE  DOUBTFUL  NOW;  MAY  START  SOMETHING-  LATER 


After  grinding  along  intermittently  for  almost  eleven 
weeks,  when  in  the  beginning  a  guess  that  the  matter  would  require 
eleven  days  would  have  seemed  extravagent,  the  hearings  of  the 
Senate  Commerce  Committee  to  decide  whether  or  not  Col.  Thad  Brown 
should  be  reappointed  to  the  Federal  Communications  Commission  wound 
up  with  a  bang  by  Senator  Charles  W.  Tobey  ( R)  of  New  Hampshire 
introducing  in  the  Senate  a  resolution  calling  for  a  Congressional 
investigation  of  the  radio  industry  and  the  administration  of  the 
Federal  Communications  Commission. 

The  purpose  of  the  inquiry,  the  resolution  stated,  would 
be  to  determine  whether  there  is  a  monopoly  in  the  industry  and  to 
consider  the  manner  in  which  radio  stations  are  licensed  by  the  FCC. 
Senator  Tobey  also  released  copies  of  letters  to  members  of  the  FCC 
asking  them  to  list  for  public  record  the  "gifts”  favors  and  other 
emoluments"  they  have  received  from  radio  companies. 

Considerable  doubt  was  expressed  as  to  whether  or  not  an 
investigation  of  the  radio  industry  would  get  any  where  this  session 
because  of  the  war  situation,  the  uncertainty  of  adjournment  and  the 
anxiety  of  members  to  get  back  to  their  districts  for  the  campaign. 

""It  all  depends  upon  whether  Senator  Burton  K.  Wheeler, 

(D),  Chairman  of  the  Senate  interstate  Commerce  Committee,  puts  his 
shoulder  to  the  wheel  on  the  resolution  whether  or  not  the  resolution 
will  be  pressed"  a  Senator  said  to  this  writer.  "I  should  say  the 
chances  are  against  it. " 

If  the  Tobey  resolution  fails  this  session  it  would  have 
to  be  re-introduced  to  be  considered  by  the  new  Congress  next  January. 
In  any  case,  particularly  if  the  Republicans  gain  strength  in  the 
November  election,  it  seems  certain  that  sooner  or  later  there  will 
be  a  searching  inquiry  of  the  radio  industry  such  as  the  resolution 
calls  for. 

The  resolution  which  Senator  Tobey  offered  by  unanimous 
consent  and  which  was  referred  to  the  Committee  on  Interstate  Commerce 
was  as  follows: 

"Resolved,  That  the  Committee  on  Interstate  Commerce,  or 
any  duly  authorized  subcommittee  thereof,  is  authorized  and  directed 
to  make  a  full  and  complete  investigation  with  respect  to  (1)  the 
existence,  extent,  formation,  legality,  and  effect  upon  the  public  or 
£-ny  individual  or  group,  of  any  monopoly  in  radio  broadcasting  or 
pny  phase  thereof  or  in  the  production,  sale  or  distribution  of  radio 
receiving  or  broadcasting  apparatus; 

-  2  - 


8/27/40 


(2)  the  administration  by  the  Federal  Communications  Commission  of 
those  provisions  of  the  manner  to  radio  communication;  (3)  th :: 
manner  of  exercise  by  licensees  of  the  Federal  Communications 
Dies  Ion  of  the  privileges  conferred  upon  them  by  their  licensee 
from  the  Federal  Communications  Commission;  (4)  the  effect  upon  tb.  - 
public  interest  of  any  contract  pertaining  to  radio  to  which  any 
such  licensee  or  any  broadcasting  network  is  a  party;  and  (5)  any 
attempts  made  by  any  such  licensee,  broadcasting  network,  or  any 
person,  company,  or  corporation  engaged  in  any  business  relating 
to  radio,  or  by  any  attorney,  agent,  or  representative  of  any  such 
licensee,  network,  person,  company,  or  corporation ,  to  unduly  in¬ 
fluence  any  public  official  in  the  exercise  of  his  duties  with  re¬ 
spect  to  any  matter  pretaining  to  radio.  The  committee  shall  report 
to  the  Senate,  at  the  earliest  practicable  date,  the  results  of  its 
investigation,  together  with  its  recommendations,  if  any,  for  neces¬ 
sary  legislation. " 

’•For  the  purposes  of  this  resolution,  the  committee,  or 
any  duly  authorized  subcommittee  thereof,  is  authorized  to  hold  such 
hearings,  to  sit  and  act  at  such  times  and  places  during  the  sessions 
recesses,  and  adjourned  periods  of  the  Seventy-sixth  and  succeeding 
Congresses,  to  employ  such  clerical  and  other  assistants,  to  require 
by  subpena  or  othervn.se  the  attendance  of  such  witnesses  and  the 
production  of  such  correspondence,  books,  papers,  and.  documents,  to 
administer  such  oaths,  to  take  such  testimony,  and  to  make  such 
expenditures  as  it  deems  advisable.  The  cost  of  stenographic  ser¬ 
vices  to  report  such  hearings  shall  not  be  in  excess  of  25  cents 
per  hundred  words.  The  expenses  of  the  committee  which  shall  not 
exceed  $25,000,  shall  be  paid  from  the  contingent  fund  of  the,  Senate 
upon  vouchers  approved  by  the  chairman.  " 

XXXXXXXXX 


DENIES  FALSE  RCA  REPORT  INTENT 


Testifying  on  the  last  day  of  the  Thad  Brown  hearings, 

J.  Austin  Smith,  New  York  financial  analyst,  denied  before  the  Sen¬ 
ate  Interstate  Commerce  Committee  a  statement  of  Chairman  Burton  K. 
Viheeler  that  a  report  he  prepared  on  the  Radio  Gorp.  of  America,  was 
intended  to  be  false.  Chairman  D'/heeler  asserted  that  Mr.  Smith’s 
previous  testimony  had  demonstrated  that  a  man  could  be  employed  to 
get  out  any  kind  of  a  report  and  insisted  the  report  was  not  a  true 
picture  of  the  affairs  of  the  corporation  and  was  intended  to  be 
false . 

Mr.  Smith  had  testified  he  was  emoloyed  by  Patrick  A.  Pow¬ 
ers,  described  as  a  retired  moving  picture  executive,  to  write  a 
report  on  R.  C.  A.  It  has  oeen  charged  the  report  was  inaccurate  and 
»ould  make  it  possible  for  Mr.  Powers  to  make  a  connection  with  the 
radio  compa.ny. 

Mr.  Powers,  however,  told  the  committee  that  Mr.  Smith 
-..nitiated  the  action  which  resulted  in  the  preparation  of  the  report. 
ne  denied  he  employed  Mr.  Smith  for  the  purpose  of  prepa.ring  a  color¬ 
ed  report. 


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The  Committee  heard  from  Powers  what  purported  to  be 
something  of  how  Joseph  P.  Kennedy,  United  States  Ambassador  to 
Great  Britain,  amassed  part  of  his  fortune. 

According  to  the  testimony,  Kennedy  bought  several 
thousand  shares  of  moving  picture  stock  early  in  1928  at  $5  per 
share  and  within  the  next  day  or  two  sold  the  same  stock  to  R. C.A. 
at  $25  per  share.  It  was  alleged  that  Kennedy  had  made  the  arrange 
raents  to  sell  the  stock  at  $25  before  he  bought  it  at  $5. 

This,  of  course,  was  several  years  before  Kennedy  took 
over  the  chairmanship  of  the  Securities  and  Exchange  Commission  for 
the  New  Deal  and  began  policing  the  Stock  Exchange. 

Powers  said  the  deal  involved  half  the  outstanding  stock 
of  the  Film  Booking  Office,  a  motion-picture  distributing  firm. 
Kennedy  thereupon  sold  the  stock  to  R.  C.  A.  Powers  continued,  and 
the  Film  Booking  Office  was  merged  with  the  Keith-Albee  chain  of 
motion  picture  houses  as  part  of  an  amaigamation  that  resulted  in 
the  formation  of  Radio  Keith  Orpheum,  familiarly  known  as  RKO. 

This  wound  up  the  testimony  in  the  R.  C.A4-  angle  of  the 
Brown  confirmation  inquiry.  It  was  siad  the  Senate  Committee  would 
have  an  executive  session  at  an  early  date  at  which  time  a  vote 
would  be  taken  on  Ccl  Brown's  fitness  to  be  reappointed  to  the  FCC. 

xxxxxxxxxx 


WOULD  KNOW  WHO  PAYS  COMMENTATORS 


There  was  an  exchange  on  the  floor  of  the  Senate  between 
Senator  Rush  D.  Holt  (D)  of  West  Virginia  and  Senator  Charles  W. 
Tobey  (r)  of  New  Hampshire  on  the  subject  of  radio  commentators  as 
follows : 


Mr.  Holt.  "I  have  taken  a  great  deal  of  interest  in 
listening  to  the  radio  night  after  night,  expecially  the  news  broad¬ 
casts,  and  I  find  that  there  is  a  deliberate  premeditated  effort 
not  only  on  the  part  of  some  of  the  radio  commentators,  but  on  the 
part  of  the  present  administration  to  try  to  tie  up  our  hope  with 
that  of  France;  in  other  words,  to  make  people  feel  that  we  are 
going  to  fall  as  France  fell. " 

Mr.  Tobey.  "I  wish  to  point  out  that  in  my  judgement 
there  is  no  factor  more  potent  in  controlling  and  influencing  public 
opinion  than  the  radio.  As  the  Senator  said,  night  after  night 
these  commentators  come  into  the  homes  and  influence  the  minds  of 
the  American  people.  Their  names  have  become  almost  household  words. 
We  know  that  Mr.  So-and-so  and  commentator,  is  announced  to  speak. 
What  does  he  do?  He  holds  before  us  in  subtle  language  the  poss¬ 
ibilities  ahead  of  us.  He  inculcates  in  the  minds  of  the  people 
the  need  for  conscription,  the  need  for  giving  England  our  destroyers 
the  dangers  of  our  being  attacked  by  Germany;  he  decries  delay  by 


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senatorial  'debate.  So  he  goes  on  using  the  power  of  suggestion 
adroitly  conceived  and  worded. 

"If  such  a  gentleman  is  retained  and  hired  by  some  great 
oil  company,  for  instance,  which  has  extensive  interest  abroad,  and 
which  holds  in  its  heart  the  damnable  doctrine  that  the  American 
flag  should  follow  the  dollar,  I  think  the  public  ought  to  know 
about  it,  but  it  does  not.  All  we  know  is  that  this  eminent  com¬ 
mentator  comes  on  the  air  and  reasons  with  the  American  people, 
with  his  power  of  suggestion  and  adroit  eloquence,  and  seeks  to 
stir  them  up  with  philosophies  that  may  be  un-American,  that  may  be 
propaganda,  end  he* is  paid  for  doing  so  by  some  great  oil  concern, 
or  some  other  great  commercial  company.1' 

"I  demand  now,  in  the  interest  of  fair  play  and  unbiased 
public  opinion,  that  we  should  know,  by  definite  statement  over  the 
radio  preceding  these  commentators,  who  is  paying  for  them,  and  what 
they  are  being  paid.  " 

XXXXXXXXX 


DEFENSE  COMMITTEE  SELECTION  RESTS  WITH  PRESIDENT 


At  a  press  conference  last  Monday  (Aug.  26)  Chairman 
James  L.  Fly,  of  the  Federal  Communications  Commission  said  that 
the  selection  of  the  National  Defense  Communications  Committee  is 
now  up  to  President  Roosevelt.  When  asked  the  status  of  the  recom¬ 
mendations  of  the  FCC  regarding  the  Committee,  Mr.  Fly  said  that 
his  impression  was  that  no  serious  question  had  developed  on  this. 
He  declared  it  was  largely  a  communications  matter  involving  the 
relation  of  all  services  to  the  national  defense. 


Mr.  Fly  said  there  was  nothing  in  the  project  to  cause 
concern  to  the  broadcasters.  He  believed  the  announcement  of  the 
membership  of  the  committee  might  be  made  in  about  a  week. 

Asked  regarding  the  status  of  the  North  American  Regional 
Broadcast  Reallocations,  the  Chairman  said  that  he  was  studying  the 
FCC  engineers  recommendations.  He  didn't  know  what  the  other  com¬ 
missioners  were  doing  in  the  matter. 

Sometime  ago  there  was  criticism  that  the  television 
people  were  lacking  in  certain  rudiments  in  staging  productions. 

For  instance  it  was  noted  that  a  man  in  a  dark  suit  was  shown  a  - 
gainst  a  dark  background  and  there  was  a  lack  of  contrast.  Comment¬ 
ing  upon  this,  Mr.  Fly  said  while  in  the  West  recently  he  had  visit¬ 
ed  certain  motion  picture  studios  and  had  noticed  the  high  effic¬ 
iency  of  their  stagecraft.  He  hoped  that  possibly  the  television 
producers  might  profit  by  this  knowledge  and  perhaps  even  find  a 
w&y  to  utilize  some  of  this  material. 


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8/27/40 


GERMAN  TELE VI SIGN  PROGRESS  REPCPTED  RAPID 


Despite  the  war  there  has  been  rapid  progress  in  tele¬ 
vision  in  Germany  according  to  the  German  Library  of  Information 
which  reports  as  follows, 

11  The  transmission  of  voice  and  music  from  one  corner  of 
the  world  to  another  has  long  been  taken  as  a  matter  of  course. 
However,  it  is  only  in  the  last  few  years  that  television  has  been 
regarded  as  more  than  a  fantastic  dream.  That  this  new  wonder  has 
progressed  from  the  realm  of  fancy  to  that  of  reality  in  so  short 
a  time  has  been  due  largely  to  the  painstaking  work  of  Germany’s 
foremost  scientists  and  engineers. " 

’’The  first  important  television  invention,  a  rotating 
disc  with  holes  arranged  in  spiral  form  for  dissecting  pictures 
into  points,  was  made  as  early  as  1885  by  Paul  Nipkow,  a.  young 
Pomeranian  engineer.  However,  not  until  40  years  later  were  prac¬ 
tical  television  experiments  carried  out.  The  first  public  trans¬ 
mission  was  given  in  1929  by  German  broadcasting  stations,  thus 
making  Germany  the  first  country  in  the  world  to  develop  and  per¬ 
fect  a  television  system  for  its  own  use. " 

"Since  then,  progress  has  been  rapid.  The  first  event 
of  world-wide  importance  to  be  "televised"  was  the  1936  Olympics 
in  Berlin.  The  German  television  exhibit  was  the  major  scientific 
attraction  at  the  Paris  World' s  Fair  a  year  later.  " 

"Since  that  time,  and  even  since  the  outbreak  of  war, 
German  research  has  forged  on  toward  the  ultimate  perfection  of 
this  new  scientific  miracle,  as  is  graphically  illustrated  by  the 
photographs  on  these  pages. " 

"No  small  difficulty  confronting  the  engineers  and 
scientists  was  the  fact  that  in  order  to  televise  to  the  entire 
country  it  would  be  necessary  to  construct  and  maintain  more  tele¬ 
vision  sending  stations  then  the  existing  number  of  radio  broad¬ 
casting  stations.  Furthermore,  ordinary  television  transmission 
depends  upon  short  waves,  and  short  waves  are  almost  wholly  absorb¬ 
ed  by  radio  transmission.  For  this  reason,  experiments  were  mede 
in  sending  television  pictures  through  subterranean  or  submarine 
cables  Television  has  already  operated  between  Berlin  and  various 
distant  cities,  such  as  Leipzig,  Munich  and  Nuremberg  by  such  means. 

"The  infant  science  was  advanced  still  further  in  Germany 
when  two  new  sending  stations  were  built  on  the  summit  of  the  Broc¬ 
ken,  one  of  the  Harz  Mountain  peaks,  and  on  the  Feldberg  in  the 
Black  Forest  in  Southern  Germany.  At  such  high  altitudes— more 
than  3,300  feet — television  waves  have  uninterrupted  play  for  at 
least  65  miles  in  every  direction." 

XXXXXXXXXX 


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8/27/40 


RADIO  PLAN  TO  FORCE  ROOSEVELT- WILLKIE  DEBATE  SUGGESTED 


If  Mr.  Willkie  desired  to  force  a  debate  with.  President 
Roosevelt  he  could  ask  time  on  the  air  after  the  next  Fireside  chat 
David  Lawrence,  the  syndicate  writer,  suggests.  Mr.  Lawrence 
reasons  it  thus: 

’’Wendell  Willkie  can  have  his  debate  with  President  Roose¬ 
velt  and  without  asking  the  latter’s  consent  either.  It  would 
differ  slightly  from  what  was  originally  proposed,  but  for  all 
practical  purposes  the  American  people  could  hear  both  candidates 
on  the  same  evening  and  one  could  answer  the  arguments  of  the  other, 

’’The  device  is  a  simple  one,  in  fact  it  was  used  in  the 
Lan don- Roosevelt  compaign  in  1*936,  so  there’s  a  precedent  for  it. 
When  President  Roosevelt,  for  example,  makes  his  next  fireside 
chat,  Mr.  Willkie  can  ask  all  major  radio  companies  in  advance  that 

Phe  be  permitted  to  have  an  equal  amount  of  time  on  the  air  immediate 
ly  following  the  President.  ” 

"No  manuscript  of  the  President’s  remarks  would  of  course 
be  provided  Mr.  Willkie  so  he  would  be  just  like  any  other  listener. 
He  could  make  his  notes  as  he  listened  to  the  speech  and  immediately 
he  would  be  given  the  chance  for  an  extemporaneous  speech. " 


"This  method  would  be  fair  because  it  would  give  both 
candidates  the  same  audience  and  the  people  would  be  given  an  oppor¬ 
tunity  to  hear  both  sides  of  a  controversy." 

"It  might  be  suggested  that  to  grant  time  to  a  Republican 
candidate  or,  to  any  one  else  to  answer  the  President  of  the  United 
States  would  be  a  discourtesj}  to  the  latter,  but  the  fact  is  in  a 
political  compaign  the  broadcasting  companies,  having  announced 
that  they  would  sell  time,  cannot  logically  refuse  to  sell  to  any 
political  committee  which  wants  to  buy  it.  In  fact  the  language  of 
the  Federal  statute  governing  the  use  of  radio  specifically  pro¬ 
vides  that  candidates  must  be  given  an  opportunity  to  obtain  the 
same  facilities  for  reply  as  are  given  to  any  other  candidate." 

XXXXXXXXXX 


PRESS  SURVEY  SHOWS  WILLKIE  FAR  AHEAD  OF  F.D.R. 


A  survey  of  the  newspapers  of  the  United  States  made  by 
the  Editor  and  Publisher  shows  the  following: 

"Wendell  L.  Willkie  has  the  editorial  support  of  66.3%  of 
the  country’s  daily  newspapers  as  of  August  21;  Franklin  D.  Roose¬ 
velt  is  supported  by  20.1%*;  13.5%  have  either  declared  themselves 
neutral  or  have  not  yet  announced  a  choice  between  the  major  candi¬ 
dates  for  the  Presidency  of  the  United  States.  These  precentages 


7 


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1 1 . 


8/27/40 


are  “based  upon  answers  by  1,000  of  the  country's  1,888  newspapers 
to  three  questions  asked  by  Editor  and  Publisher.  The  questions 

were  * 

1.  Did  you  support  Roosevelt  against  Hoover  in  1932? 

2.  Did  you  support  Roosevelt  against  London  in  1936? 

3.  Which  candidate  is  receiving  your  support  this  year? 

"The  replies,  tabulated  up  to  August  21,  cover  54.5% 
of  the  entire  daily  newspaper  press. " 

"The  proportion  favoring  Mr.  Willkie  is  far  smaller 
than  the  eatimates  which  have  been  published  in  recent  weeks. 

These  have  usually  put  90%  of  the  dailies  in  Willkie ' s  column. 

Mr.  Willkie ' s  present  advantage — 66.3% — is  considerably  greater 
than  Mr.  Roosevelt  in  newspaper  preference  four  years  ago.  The 
usual  claim  of  Mr.  Roosevelt's  friends  has  been  that  his  landslide 
election  was  accomplished  in  the  face  of  the  opposition  of  85  to 
86%  of  the  daily  newspapers. " 


"A  cursory  survey  made  by  Editor  and  Publisher  immediate¬ 
ly  after  the  1936  election  proved  that  Mr.  Landon  did  not  have 
the  active  support  of  more  than  67  to  70%  of  the  dailies,  and  that 
Mr.  Roosevelt's  cause  had  been  advocated,  by  30  to  33%.  On  the 
basis  of  the  survey  published  this  week,  it  appears  that  Mr.  Landon' 
following  was  only  60.4%  of  the  daily  papers  while  Mr.  Roosevelt 
had  34.5%,  and  5%  were  not  committed  to  either.  Later  returns  to 
these  questions  are  more  likely  to  increase  than  decrease  the 
proportion  favoring  the  President  for  re-election  in  1936. " 


XXXXXXXXX 


CBS  TO  BUILD  NEW  INTERNATIONAL  STATION 


Columbia  Broadcasting  System,  Inc. ,  has  been  granted 
construction  permit  by  the  Federal  Communications  Commission  for 
a  new  international  broadcasting  station  to  be  located  at  Brent¬ 
wood,  N.Y. ,  and  use  50  kilowatts,  the  minimum  power  ruled  by  the 
commission  necessary  for  satisfactory  international  service. 

Columbia  has  an  application  pending  to  move  WCBX,  another 
CBS  international  station  to  Brentwood,  and  increase  the  power  of 
that  station  from  10  to  50  kilowatts.  It  also  has  understanding 
with  its  affiliate  WCAB  now  operated  by  the  WCAV  Broadcasting 
Company  at  Philadelphia  that  the  latter,  now  operating  on  10  kilo¬ 
watts,  will  transfer  facillities  to  Columbia  and  discontinue  opera¬ 
tion.  Stations  WCAB  and.  WCBX  have  had  a  working  arrangement  to 
provide  simultaneous  program  service  to  Europe  and  South  America. 
While  one  station  directed  programs  to  Europe  the  other  delivered 
programs  to  South  America.  It  is  intended  to  continue  this  plan 
by  the  use  of  two  stations  at  the  Brentwood  location. 


XXXXXXXXX 
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8/27/40 


I.T.&  T.  COMPLETELY  REINSTATED  IN  SPAIN 


Final  steps  in  the  complete  reinstatement  of  the  Inter¬ 
national  Telephone  and  Telegraph  Corporation  in  the  management  of 
its  Spanish  subsidiary,  the  Compania  Telefonica.  Nacional  de 
Esioana,  which  operates  the  Spanish  national  local  and  long  dis¬ 
tance  telephone  system,  were  taken  at  a  meeting  of  the  Board  of 
Directors  of  the  C. T.N.E.  in  Madrid  last  week,  at  which  four 
Americans  were  elected  directors,  making  a  total  of  five  American 
representatives  of  the  IT&T  on  the  Board.  At  the  same  meeting 
American  appointees  for  key  executive  positions  were  selected, 
and  five  new  Spanish  directors  were  chosen. 

Colonel  Sosthenes  Behn,  President  of  the  International 
Telephone  and  Telegraph  Corporation,  who  has  been  in  Spain  for 
several  months,  successfully  conducted  the  negotiations  which 
have  resulted  in  the  IT&T  resuming  the  same  status  in  the  Spanish 
company  as  before  the  war. 

When  civil  war  broke  out  in  Spain  in  July  1936,  the 
Spanish  Government,  in  accordance  with  the  provisions  of  its  con¬ 
tract  with  the  IT&T,  immediately  took  over  the  operation  of  the 
C. T.N.E.  telephone  system,  which  covers  the  entire  country.  Al¬ 
though  the  corporate  interest  of  the  IT&T  in  its  Spanish  company 
has  never  been  questioned,  it  was  felt  by  the  new  Spanish  Gov¬ 
ernment  after  the  close  of  the  war  that  it  was  desirable  for  the 
management  to  continue  in  their  own  hands  through  the  early  per¬ 
iod  of  reconstruction.  With  the  election  of  the  American  mem¬ 
bers  of  the  board  and  the  appointment  of  the  American  executives, 
full  control  reverts  to  the  IT&T. 

Americans  on  the  board  of  the  Compania  Telefonica 
Nacional  de  Espana  are  F.  T.  Caldwell,  M.  A.  Sunstrom,  E.  N. 
Wendell,  A.  F.  Clement,  and  G.  H.  Dennis.  New  Spanish  directors 
are  Jose  Bertram  y  Musitu,  Ignacio  Satrustegui,  Jesus  Rivero, 

Jesus  Maranon  and  Eugenio  Barroso. 

There  are  three  directors  on  the  board  named  by  the 
Spanish  Government;  one  from  the  Treasury  Department,  one  from 
the  War  Department  and  one  from  the  Department  of  Communication. 

F.  T.  Caldwell,  who  was  Executive  Vice  President  before  the 
hostilities,  has  been  selected  for  the  same  position.  G.  H. 

Dennis  is  to  be  Comptroller,  E.  N.  Wendell,  Chief  Engineer,  and 
other  Americans  will  be  in  charge  of  the  Construction,  Mainten¬ 
ance  and  Commercial  Departments. 

The  C.  T.  N.  E.  was  organized  by  the  IT&T  in  1924  to 
build  up  and  operate  the  Spanish  national  telephone  system.  The 
large  and  continued  program  of  reconstruction  and  expansion  init¬ 
iated  in  that  year  brought  the  total  number  of  telephones  operated 
by  the  company  in  Spain  up  to  346,032  immediately  prior  to  the 
conflict.  This  number  has  been  reduced  during  the  period  of  dis¬ 
turbance  by  about  40,000. 


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RCA  COMMUNICATIONS  SERVICE  EMBLEMS  AWARDED 


Gold  emblems  have  been  presented  to  all  RCAC  staff  mem¬ 
bers  having  twenty  or  more  years  of  service.  The  presentation 
was  made  today  by  William  A.  Winterbottoin,  Vice  President  and 
General  Manager. 


Although  fi.  C.A.  Communications,  Inc.  was  organized 
only  eleven  years  ago,  its  parent  company — the  Radio  Corporation 
of  America — was  organized  late  in  1919.  At  that  time  RCA  took 
over  the  plant  and  personnel  of  the  Marconi  Wireless  Telegraph 
Company  of  America.  Because  of  this,  many  of  our  present  employ¬ 
ees  have  been  employed  continuously  in  this  group  for  more  than  two 
decades. 


Heading  the  list  of  veterans  is  Charles  T.  Taylor,  who 
joined  in  1902.  Mr.  Taylor  has  been  Vice  President  in  Change  of 
Engineering  since  1929.  Algeron  Cruttenden  is  second  with  thirty- 
five  years. 

David  Sarnoff,  President,  is  third  with  thrity-three , 
and  Samuel  Campbell  is  fourth.  Although  Mr.  Campbell  also  has 
thirty-three  years  of  service  to  his  credit,  Mr.  Sarnoff1  s  employ¬ 
ment  with  the  Marconi  Company  began  four  days  previously. 

In  making  the  distribution,  Mr.  Winterbottom ,  speaking 
for  the  Board  of  Directors,  the  new  RCAC  publication  Relay  reports, 
said:  "The  success  of  our  organization  is  due  in  no  small  part 

to  the  loyalty  and  efficiency  of  this  group  of  employees,  of  whom 
you  are  one,  and  I  should  like  to  ttake  this  opportunity  to  con¬ 
gratulate  $cou  upon  having  achieved  this  distinction  and  to  commend 
you  for  your  loyal  service. " 

"It  is  my  hope  and  belief, "  Mr.  Winterbottom  continued, 
"that  you  will  wear  it  with  pride,  just  as  we  are  proud  to  have 
you  working  with  us  for  the  continued  success  of  the  Company.  11 

The  solid  gold  emblem  is  about  three-quarters  of  an  inch 
long,  with  a  ruby  in  its  lower  point. 

xxxxxxxxx 


To  prove  that  everything  is  possible  in  radio,  WMAC 
announces  that  it  will  be  on  the  air  nightly  for  the  next  ten  days 
from  1:30  AM  until  6:60  AM  broadcasting  a  "program  of  silence." 
It's  part  of  a  test  for  WMCA' s  new  5000  watt  da.y  and  1000  watt 
night  transmitter  just  completed  at  Kearny,  N.  J. 

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TRADE  NOTES 


The  Chicago  Federation  of  Labor  Station,  WCFL,  now  using 
5  kilowatts,  has  asked  permission  to  double  its  power  and  to  changp 
its  hours  of  operation  from  unlimited  time  experimentally  to  un¬ 
limited  time .  • 


A  power  boost  to  5  kilowatts  has  been  granted  WDRC  of 

Hartford. 


Extensions  of  authority  to  transmit  network  programs  from 
the  United  States  via  RCA  Communications,  Inc.,  to  Station  CMX  in 
Havana  has  been  granted  to  NBC. 

I 

The  Indianapolis  plant  of  the  Radio  Corporation  of  America 
will  be  increased  by  400,000  square  feet  of  floor  space,  doubling 
the  area  now  available  for  the  manufacture  of  phonograph  and  radio 
parts,  it  was  announced  today.  The  addition  will  increase  the 
company’s  pay  roll  by  $3,000,000  annually.  —  . 


Station  WTNJ  at  Trenton,  N.  J. ,  has  asked  to  change  its 
frequency  to  123-  kc,  increase  its  power  to  1  kilowatt,  unlimited 
time  and  move  transmitter  to  Edgewood  -  Yardley,  Yardley,  Pa. 


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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 

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INDEX  TO  ISSUE  OF  AUGUST  30,  1940 


FCC  Clears  Up  Amateur  Order . 2 

Brazilian  Announcers  Must  Be  Native  Born . . . . 2 

Record  Overseas  Radio  Phone  Calls . 3 

Note.  . . 4 

• — Crosley  to  Buils  New  $100,000  Television  Station . 4 

Plan  Drafted  to  Train  CCC  in  Radio. . ...4 

Warns  Stations  Could  be  Seized  in  Conscription . . . 5— — 

Diathermy  Interference  Jeopardizes  Defense  Services . .....5 

Thad  Brov/n  Confirmation  Again  Blocked . ,.8 

FCC  Labor  Legal  Advisor  Appointed . 8 

National  Television  Groups  to  Meet . 8 

Willkie  Listens  to  McNary  Over  Portable . .9 

A.  C.  &  R.  C.  Nets  $643,246  First  Nine  Months . 9 

WMCA  to  Offer  Radio  Apprenticeship  Courses . 10 

Church  of  Air  Enters  Tenth  Year . 10 

FCC  Attorneys1  Applications  Approved . 11 

Foreign  Language  Broadcasts  Recording  Urged . 11 

>*»  CB S  Color  Televising  Shown  FCC . . . 11 

WLW  Engineers  Good  at  Farming  Also . 12 

Trade  Notes . 13 


August  30,  1940 


FGC  CLEARS  UP  AMATEUR  ORDER 


There  has  been  unnecessary  confusion  in  some  minds  ac¬ 
cording  to  the  Commission,  regarding  the  Federal  Communications 
Commission  Order  sometime  ago,  restricting  the  use  of  portable 
and  portable-mobile  radio  equipment  by  amateurs. 

The  new  order  (No.  73A)  does  not  in  any  sense  rescind 
the  original  order  but  merely  makes  it  possible  for  amateurs  to 
continue  the  development  and  testing  of  equipment  designed  and 
built  for  the  sole  purpose  of  emergency  use.  This  relaxation  of 
the  original  order  does  not,  and  was  not  intended  to,  authorize 
the  use  of  emergency  equipment  for  routine  amateur  communications. 

It  was  made  in  the  realization  that  effective  emergency  communica¬ 
tion  can  only  be  based  on  prior  experience,  including  personnel 
and  equipment,  all  thoroughly  coordinated  into  a  communication 
network.  Any  extension  of  the  new  order  to  cover  the  use  of  regu¬ 
lar  portable  or  portable-mobile  equipment  under  the  guise  of 
"testing  for  emergency  purooses"  is  an  unwarranted  and  unauthorized 
stretching  of  the  letter  of  the  order. 

A  Commission  press  release,  authorizing  the  moving  of 
amatuer  stations  from  one  fixed  location  to  another,  was  not  intend¬ 
ed  to  permit  short-period  operation  from  a  location  other  than 
that  noted  in  the  station  license.  It  is  difficult  to  draw  an 
absolute  dividing  line  between  what  is  considered  a  "summer  resi¬ 
dence,  "  and  what  is  not,  but  week-ends  or  short  vacation  periods 
do  not  constitute  "summer  residences. "  On  the  other  hand,  a  move 
to  a  summer  cottage  for  a  four-month  period  could  be  considered  a 
"summer  residence. " 

The  press  release,  the  Commission  explanation  includes, 
was  a  convience  to  permit  amateurs  to  continue  operation  even  though 
they  might  move  from  one  fixed  location  to  another  in  routine  civil 
life.  It  was  not  contemplated  as  a  means  whereby  amateurs  could 
operate  their  stations  from  week-end  vacation  location,  or  similar 
situations  definitely  restricted  under  the  original  order. 

XXXXXXXXXX 

BRAZILIAN  ANNOUNCERS  MUST  BE  NATIVE  BORN 

The  American  Embassy  at  Rio  de  Janeiro  has  reported  that 
the  Brazilian  Minister  of  Communications  has  ruled  that  all  radio 
announcers  in  Brazil  must  be  native-born  Brazilian  citizens. 

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8/30/40 


RECORD  OVERSEAS  RADIO  PHONE  CALLS 


With  a  total  of  nearly  2000  messages  for  the  month  of 
June,  traffic  over  the  Bell  System’s  radio  telephone  circuits  to 
South  America  and  across  the  Pacific  broke  all  previous  records, 
according  to  figures  compiled  by  the  Overseas  Service  staff  on 
the  Long  Lines  Department.  'Traffic  on  these  routes  during  July 
indicated  that  the  volume  for  that  month  would  equal  or  exceed 
the  June  record.  Current  figures  also  show  that  despite  the  sharp 
drop  in  transatlantic  business  due  to  the  imposition  of  military 
censorships,  overseas  traffic  generally  is  less  than  fifteen  per 
cent  below  what  it  was  a  year  ago. 

The  growth  in  South  American  and  Transpacific  telephone 
traffic  has  been  steady  since  last  fall.  South  American  business 
is  at  present  averaging  about  three  times  ?4iat  it  did  last  year 
at  this  time,  while  Transpacific  business  is  more  than  double  the 
figure  for  the  corre spending  period  last  year.  .  Traffic  with  con¬ 
tinental  European  countries  with  which  service  is  still  available 
has  doubled  over  what  it  was  a  year  ago.  It  is  of  interest  also 
that  traffic  in  the  Caribbean  region— the  West  Indies,  Central 
America,  and  the  northern  part  of  South  America — has  grown  about 
eighty  per  cent  in  the  past  twelve  months. 

At  the  outbreak  of  the'  of  the  war,  military  restrictions 
abroad  shut  off  all  private  and  commercial  telephone  service  with 
Great  Britain  and  continental  Europe.  Great  Britain  and  France 
continued  to  accept  government  and  press  calls.  Within  ten  days, 
however,  general  service  to  continental  Europe,  except  France,  was 
restored  over  two  new  circuits  to  Europe.  A  New  York-Rome  circuit, 
already  under  construction,  was  rushed  to  completion.  Also  arrange¬ 
ments  were  made  speedily  with  the  Netherlands  for  a  temporary  cir¬ 
cuit  between  New  York  and  Amsterda.ro.  .  Although  the  establishment 
of  such  circuits  usually  requires  many  months,  this  channel  was  in 
operation  within  a  week. 

While  the  Amsterdam  circuit  is  no  longer  operating,  two 
other  circuits  to  continental  Europe  have  been  recently  set  up  so 
that  today  Europe  can  be  reached  by  direct  circuits  to  Rome,  Bern 
and  Berlin.  In  some  cases  this  gives  two  different  routes  to  a 
country . 

At  the  present  writing  Bell  System  overseas  telephone  ser¬ 
vice  with  Europe  includes  Bulgaria,  Finland,  Germany,  Great  Britain 
Hungary,  Italy,  Latvia,  Lithuania,  Portugal,  Roumania,  Sweden, 
Switzerland,  and  Yugoslavia.  As  yet,  the  service  has  not  been  re¬ 
stored  to  France,  Belgiuip,  Holland,  Norway,  Denmark  and  Spain. 

The  New  York-Paris  circuit  is  still  shut  down.  In  the 
case  of  Great  Britain,  Roumania  and  Italy  the  service  is  limited  to 
government  and  press  calls.  Practically  all  countries  permit  broad¬ 
casting  by  news  commentators  to  the  American  networks  over  Trans¬ 
atlantic  telephone  circuits. 


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NOTE :  DUE  TO  THE  FACT  THAT  THE  GOVERNMENT  OFFICES  ARE  TO  3E 

CLOSED  LABOR  DAY,  THERE  WILL  BE  NO  ISSUE  OF  THIS  SER¬ 
VICE  ON  TUESDAY,  SEPTEMBER  3. 

xxxxxxxxx 


CROSLEY  TO  BUILD  NEW  $100,000  TELEVISION  STATION 


The  Crosley  Corporation,  Cincinnati,  Ohio,  has  been 
granted  a  construction  permit  by  the  Federal  Coramunnications  Com¬ 
mission  for  a  new  television  broadcast  station  in  that  city.  The 
proposed  station,  at  Vine  and  Fifth  Streets,  will  operate  experi¬ 
mentally  on  television  channel  No.  1  (50,000  to  56,000  kilocycles) 
with  1  kilowatt  arual  and  visual  power,  A3  and  A5  emission. 


It  was  among  the  applications  tenatively  approved  in 
June  subject  to  proper  showing  of  programs  of  research  and  develop¬ 
ment,  including  engineering  experimentation  tending  to  develop  uni¬ 
form  transmission  standards  of  acceptable  technical  quality.  The 
Crosley  station  intends  to  work  with  a  transmitting  system  in  which 
the  picture  is  composed  of  30  frames  per  second  interlaced.  Tests 
will  be  conducted  with  441  and  507  lines  as  well  as  an  intermediate 
J  number  of  lines.  It  also  contemplates  research  on  wave  forms,  and 
experimentation  on  various  types  of  antennas  and  the  effect  of 
vertical  and  horizontal  polarization. 

The  initial  cost  of  the  station  is  estimated  to  exceed 

$100,000. 

XXXXXXXXX 


PLAN  DRAFTED  TO  TRAIN  CCC  IN  RADIO 


A  plan  for  conversion  of  a  greatly  enlarged  Civilian  Con¬ 
servation  Corps  into  a  reservoir  of  trained  young  mechanics  and 
artisans  for  national  defense  and  for  industry  is  now  being  prepared 
for  presentation  to  the  President. 


Instruction  to  be  provided  calls  for:  Radio  and  electri¬ 
cal  mechanics  and  operators;  training  of  mechanics  for  trucks,  tract¬ 
ors,  tanks  and  automotive  equipment.  Plane  mechanics,  photographers, 
and  mapmakers.  Hospital  aides-first  aid  and  cooks. 


Increase  of  from  50  to  100  per  cent  in  CCC  camps  and  en- 
rollees  is  contemplated.  Present  relief  requirements  for  camp  en¬ 
trance  would  be  lifted  to  place  enrollments  on  a  strictly  voluntary 
basis.  Strictly  military  training  would  be  barred. 


Tentatively,  proposals  call  for  an  increase  in  the  number 
of  camps  by  800  and  in  the  numbers  of  enrollees  by  about  160,000. 
Camps  at  present  number  1,500  with  around  300,000  enrolled. 


XXXXXXXXX 
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8/30/40 


WARNS  STATIONS  COULD  BE  SEIZED  IN  CONSCRIPTION 


Senator  Sheridan  Downey  ( D)  of  California  saw  danger  of 
radio  stations  and  newspapers  being  seized  by  the  Overton  -  Russell 
amendment  to  the  selective  military  service  bill  adopted  by  the 
Senate  to  permit  the  Government  to  take  over  defense  industries  if 
necessary. 


"I  cannot  conceive  that  we  have  reached  any  crisis  in 
this  country  at  this  time,  "  Senator  Downey  said,  "by  virtue  of 
which  we  are  now  ready  to  place  in  the  hands  of  two  men  the  arbi¬ 
trary  power  to  take  over,  at  their  will  and  disposition,  without 
any  judicial  review  of  any  character,  almost  any  type  of  business 
in  the  United  States." 

"We  have  simple,  proper,  rational  ways  to  limit  profits, 
and  we  do  not  have  to  place  in  the  hands  of  the  Secretary  of  the 
Navy  or  the  Secretary  of  Wer  the  right  arbitrarily,  without  any 
judicial  decision  of  necessity,  to  seize  practically  every  business 
in  the  United  States. " 

"If  I  read  this  law  correctly,  if  the  Secretary  of  War 
or  the  Secretary  of  the  Navy  should  say  -This  newspaper  is  a  facility 
that  I  require  to  spread  news  or  propaganda, '  or  *this  radio  is 
necessary  for  public  purposes, 1  that  decision  would  be  final,  and 
Lhat  newspaper  or  that  radio  would  pass  out  of  the  hands  of  the 
proprietor.  " 


XXXXXXXXX 

DIATHERMY  INTERFERENCE  JEOPARDIZES  DEFENSE  SERVICES 


(Note:  This  is  not  released  for  publication  until  after 

Mr.  Jett's  address  has  been  delivered,  Monday,  September  2.) 

Interference  is  the  problem  child  of  radio,  Lieutenant 
Commander  E.  K.  Jett,  U.  S.  N. ,  retired,  Chief  Engineer  of  the 
Federal  Communications  Commission  said  at  the  American  Congress  of 
Physical  Therapy  at  Cleveland,  September.  Commander  Jett  spoke  of 
the  serious  menace  to  the  communications  services  of  the  Army  and 
Navy  and  other  national  defense  agencies  caused  by  diathermy  inter¬ 
ference. 


"Radio  interference  is  of  three  kinds, "  Commander  Jett 
explained,  "Except  under  special  conditions,  radio  stations  can 
interfere  with  one  another  unless  they  are  assigned  separate  fre¬ 
quencies- — that  is,  separate  highways  in  the  ether.  This  kind  of 
interference  is  taken  care  of  through  government  regulation  and 
international  agreement.  Every  station  is  assigned  a  specific  fre¬ 
quency  or  channel  and  is  required  to  operate  within  this  channel. 

It  must  not  deviate  from  its  frequency  beyond  certain  limits.  The 
signals,  in  other  words,  must  ride  on  the  right  side  of  the  road. " 


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"The  second  type  of  interference  is  caused  by  nature — 
thunder  storms  or  electric  discharges;  static  or  atmospheric 
noise,  as  we  call  it.  During  local  thunder  storms  the  radio  set 
is  usually  out  of  commission  but  other  storms  of  far  distant 
origin  still  play  a  part  because  these  electrical  discharges  are 
transmitted  by  radio.  In  this  connection,  it  is  interesting  to 
know  that  there  are  some  1800  thunder  storms  in  existence  in  all 
parts  of  the  world  at  any  one  time.  So  there  is  always  a  varying 
amount  of  interference  or  atmospheric  noise  present  in  radio  re¬ 
ception,  and  it  appears  all  over  your  dial.  We  overcome  this 
type  of  interference  in  large  measure  by  assigning  sufficient  po¬ 
wer  to  radio  stations  to  over-ride  the  noise. " 

"The  third  type  of  interference  is  industrial — electrical 
or  man-made.  It  is  caused  by  electric  machines  used  in  the  in¬ 
dustry  or  the  home,  such  as  oil  burners,  electrical  razors,  auto¬ 
matic  sign  flashers,  and  the  like.  Automobile  ignition  and  elec¬ 
tric  railways  are  other  producers  of  interference.  Fortunately, 
this  third  type  of  interference  travels  only  a  very  short  distance 
from  the  source.  It  has  been  possible  to  control  this  type  of 
interference  to  a  large  extent  through  cooperation  between  manu¬ 
facturers,  radio  operating  companies,  and  the  user  of  the  equip¬ 
ment.  " 

Commander  Jett  said  the  interference  caused  by  dia¬ 
thermy  equipment  appeared  to  be  in  a  class  of  its  own  and  might 
seriously  interfere  with  national  defense  services. 

"True,  the  apparatus  is  an  electric  machine  and  it  is 
not  used  for  communication  purposes,  but  to  treat  patients,  to 
relieve  human  suffering  and  to  save  lives, "  the  speaker  continued. 
However,  it  cannot  be  classed  as  an  ordinary  electric  machine 
similar  to  many  of  the  thousands  in  use  in  the  electrical  industry. 
Because  of  its  design  and  the  manner  in  which  it  is  used,  it  is 
in  fact — though  not  intended  as  such--a  radio  transmitter  of  con¬ 
siderable  power  utilizing  an  effective  radiation  system,  operating 
in  the  most  useful  regions  of  the  radio  spectrum.  It  is  not  only 
capable  of  interfering  with  radio  reception  but  in  many  causes  is 
actually  now  doing  so.  " 

"Radiations  from  one  of  these  machines  located  in  the 
vicinity  of  Boston  were  controlled  by  an  ordinary  telegrapher's 
key  and  the  signals  thus  emitted  in  the  international  Morse  code 
were  easily  read  in  Washington,  D.  C.  ,  and  at  G-reat  Lakes,  Ill. 
Subsequent  tests  of  a  machine  located  in  Schenectady,  New  York, 
revealed  that  it  was  capable  of  interrupting  communication  in 
Washington,  Detroit,  Grand  Island,  Nebraska,  New  York  City,  and 
other  widely  scattered  points.  " 

"The  transmissions  from  diathermy  machines  are  capable 
of  being  received  across  the  continent  and  even  across  the  ocean. 
The  frequencies  upon  which  they  operate  are  used  by  the  national 
defense  and  safety  services.  Interruptions  of  these  services  may 
jeopardize  life  or  property,  or  seriously  affect  the  nation*s 
interests. 


6 


8/30/40 


Communication  companies  appeal  to  the  Commission  re¬ 
peatedly  as  being  their  only  source  of  relief  from  these  inter¬ 
ruptions  in  their  services.  Municipalities,  as  many  as  thirty  at 
a  time,  have  also  petitioned  the  Commission  for  assistance  in  the 
protection  of  their  police  services. " 

"We  have  in  the  radio  industry  two  rapidly  growing  ser¬ 
vices  that  are  likely  to  contribute  very  substantially  to  the 
public’s  benefit.  These  are  television,  and  aural  broadcasting 
combined  with  facsimile  broadcasting,  employing  the  new  system  of 
frequency  modulation.  Each  of  these  new  services  must  operate  on 
ultra-high  frequencies  above  40,000  kilocycles.  " 

"With  this  new  system,  called  1  FM  broadcasting*  we  will 
have  gone  a  long  way  toward  overcoming  one  of  the  most  unruly  types 
of  interference  with  which  we  have  had  to  deal,  namely,  atmospherics. 
Diathermy  interference  will  likewise  be  minimized  or  eliminated. 

There  are  many  who  live  in  rural  areas  who  have  never  experienced 
real  good  radio  reception.  We  now  have  the  opportunity  to  furnish 
these  people  with  the  same  high  quality  noise- free  radio  programs 
that  are  often  enjoyed  in  the  large  cities.  But  here  again  we  are 
liable  to  collide  with  diathermy  interference." 

"Any  curtailment  of  diathermy  apparatus  would  cause  great 
hardship  to  many  sufferers  and  would  prevent  the  saving  of  many 
lives.  No  one  would  suggest  such  a  step.  On  the  contrary,  I  for 
one  am  anxious  to  encourage  the  use  of  diathermy  equipment.  Dia¬ 
thermy,  like  radio,  is  a  safety  service.  It  is  used  by  physicians 
and  surgeons  in  many  ways  to  combat  disease  and  for  surgical  pur¬ 
poses.  In  the  hospital  it  has  become  an  indispensable  tool.  We 
have  been  informed  that  there  are  thousands  of  therapeutic  depart¬ 
ments  in  hospitals  in  the  United  States,  all  of  which  possess  one 
or  more  diathermy  machines,  and  there  are  thousands  of  privately 
owned  machines  being  operated  by  physicians  in  this  and  other  coun¬ 
tries.  We  would  no  more  want  to  prevent  the  use  of  these  machines 
than  we  would  think  of  endeavoring  to  curtail  the  activities  of  the 
doctors  themselves.  But  we  are  confronted  with  a  very  serious  pro¬ 
blem.  Two  safety  services — diathermy  and  radio.  It  is  a  question 
of  live  and  let  live.  We  must  find  a.  way  in  which  each  can  get 
along  in  the  presence  of  the  other.  " 

"In  those  cases  where  it  is  necessary  to  take  the  appara¬ 
tus  to  the  patient,  in  circumstances  where  screening  the  room  is 
not  practicable  or  advisable  economically ,  or,  if  for  any  other 
reason  entire  scree ing  of  the  patient  and  the  apparatus  is  not 
possible,  it  would  appear  that  the  only  solution  would  be  to  use 
apparatus  with  a  restricted  frequency  band  of  emission  which  does 
not  extend  over  more  than  one  communication  channel.  G-reat  care 
should  be  exercised  in  the  selection  of  the  channel  to  make  cer¬ 
tain  that  no  interference  will  result  to  radio  reception. " 


XXXXXXXXX 


8/30/40 


THAD  BROWN  CONFIRMATION  AGAIN  BLOCKED 


Once  more  Senator  Charles  W.  Tobey  ( R)  of  New  Hampshire 
has  thrown  a  monkey-wrench  in  the  proceedings  to  confirm  the  re¬ 
appointment  of  Col.  Thad  Brown  to  the  Federal  Communications  Com¬ 
mission.  According  to  reliable  reports,  the  Senate  Interstate 
Commerce  Committee  which  met  in  executive  session  last  Friday, 
was  all  prepared  to  vote  a  favorable  recommendation  for  Brown. 

Upon  hearing  this  Senator  Tobey  is  said  to  have  risen  in  wrath  (de¬ 
claring  he  had  new  evidence  to  be  considered  and  threatening  to 
go  on  the  floor  of  the  Senate  "and  raise  hell"  if  further  consider¬ 
ation  to  the  matter,  which  already  has  been  pending  since  the 
middle  of  June,  were  not  given. 

However  true  these  reports  of  Friday’s  meeting  may  be, 
the  fact  is  after  a  long  session  the  Senate  Committee  adjourned 
without  taking  action,  not  to  meet  again  until  after  Labor  Day. 

XXXXXXXXX 


FCC  LABOR  LEGAL  ADVISOR  APPOINTED 


Sidney  D.  Spear,  assistant  to  the  legal  ad.visor  of  the 
State  Department,  has  been  appointed,  to  the  Law  Department  of  the 
Federal  Communications  Commission  to  advise  on  matters  involving 
employment  and  labor  problems  in  relation  to  the  regulation  of 
communications. 

Mr.  Spear’s  background  is  labor  economics  and  research, 
and  he  is  completing  a  chapter  on  internation  communications  for 
the  Digest  of  International  Law. 

Born  in  Seattle  March  16,  1909,  Mr.  Spear  was  graduated 
from  the  University  of  Washington,  magna  cum  laude,  with  A.B. 
degree  in  1931.  He  had  graduate  work  in  psychology  and  sociology 
and  was  Assistant  Dean  of  Men  at  the  University  of  Washington  until 
1934.  He  received  his  LL.B.  from  Harvard  in  1937.  In  his  service 
with  the  State  Department,  since  1937,  Mr.  Spear  has  specialized 
in  the  legal  aspects  of  electrical  communications. 

XXXXXXXXX 


NATIONAL  TELEVISION  GROUPS  TO  MEET 

There  will  be  meetings  of  eight  of  the  nine  television 
panels  or  subcommittees  at  the  Hotel  Roosevelt  next  week.  Panels 
1  and  3  will  meet  September  3;  panels  4  and  5  on  September  4;  panel 
6  and  7  on  September  5,  and  panels  8  and  9  on  September  6.  Details 
of  meetings  may  be  secured  from  Mr.  L.  C. F.  Horle ,  90  West  Street, 
New  York  City,  Telephone  Corlland  7-0850. 


XXXXXXXXX 

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WILLKIE  LISTENS  TO  MCNARY  OVER  PORTABLE 


Wendell  Willkie  gave  portable  radios  some  fine  free 
advertising  by  listening  to  the  acceptance  speech  of  his  running 
mate,  Vice  Presidential  nominee,  McNary,  over  a  portable.  It 
developed  that  Mr.  Willkie  carries  a  portable  radio  with  him  on 
his  plane  trips  wherever  he  goes. 

Mr.  Willkie  was  enroute  to  Rushville  by  auto  but  listen¬ 
ed  to  Mr.  McNary' s  speech  in  a  little  roadside  restaurant  in  the 
outskirts  of  Indianapolis,  Martha  Taylor’s  Eat  Shop,  on  Virginia 
Avenue.  The  capacity  of  the  small  lunch  room  was  taxed  when  the 
Willkie  party  arrived  without  advance  notice.  A  crowd  gathered 
in  front  of  the  restaurant  to  see  Mr.  Willkie  and  incidentally  to 
listen  to  the  McNary  speech  over  his  portable. 

Later  in  the  day  discussing  broadcasts  he  himself  might 
make,  Mr.  Willkie  said: 

"Only  one  or  two"  of  his  major  speeches  would  be  made 
from  manuscript  and  that  "two,  perhaps  only  one,"  would  be  del¬ 
ivered  over  national  radio  hookups.  Asked  if  he  intended  to 
speak  over  the  radio  without  a  prepared  address,  Mr.  Willkie  re¬ 
plied:  "Why,  of  course.  " 

XXXXXXXXX 

A . C .  &  R.G.  NETS  $643,246  FIRST  NINE  MONTHS 

The  consolida.ted  net  income  of  the  American  Cable  and 
Radio  Corporation  and  subsidiary  companies  for  nine  months  amount¬ 
ed  to  $643,246.  The  corporation  acquired  its  assets  and  commenced 
business  January  31,  1940,  pursuant  to  the  Order  of  the  Court, 
dated  January  25,  1940,  directing  consummation  of  the  Plan  of  Re¬ 
organization  of  Postal  Telegraph  and  Cable  Corporation  and  its 
subsidiary,  the  Associated  Companies. 

Operating  revenues  were  $9,470,204,  operating  expenses 
$8,253,930  and  net  income  from  operations  $1,003,439.  In  his  re¬ 
port,  John  L.  Merrill,  Chairman,  stated; 

"Notwithstanding  the  interruption  in  cable  communications 
with  Germany,  both  cable  and  radiotelegraph  revenues  increased 
substantially  coincident  with  the  outbreak  of  war  in  September  1939. 
Revenues  for  the  last. three  months  of  the  year  declined  materially 
from  the  September  peak,  but  still  remained  above  the  levels  of 
prior  to  September. " 

"The  consolidated  net  earnings  of  All  America  Corp. 
and  Commercial  Mackay  Corporation  calculated  in  accordance  with  the 
provisions  of  the  respective  Indentures  on  a  pro  forma  basis  were 
sufficient  to  permit  payment  of  interest  at  the  rate  of  4%  per 
annum  for  the  period  from  April  1  to  December  31,  1939  with  re spec' 
to  the  Income  Debentures  of  such  companies.  " 

XXXXXXXXX 
-  9  - 


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8/30/40 


WMCA  TO  OFFER  RA.DIO  APPRENTICESHIP  COURSES 


An  apprenticeship  course  in  radio  technique  applying  to 
all  branches  of  the  broadcasting  industry  will  be  inaugurated  by 
the  Marketing  Department  School  of  Commerce  of  New  York  University- 
in  cooperation  with  station  WMCA,  it  was  announced  by  Donald  Flamm, 
president  of  WMCA  and  Warren  B.  Dygert,  Assistant  Professor  of  the 
New  York  University  radio  courses. 

To  be  given  on  a  preferential  basis,  the  instruction  will 
consist  of  junior  appointments  at  WMCA.  Students  selected  will  be 
trained  in  various  capacities  by  working  directly  under  department 
heads  in  the  units  to  which  they  will  be  assigned.  Approximately 
fifteen  students  will  be  taken  from  the  advanced  radio  classes  dur¬ 
ing  each  semester  and  additional  credit  will  be  alloted  those 
satisfactorily  completing  the  prescribed  course. 

Reason  for  the  apprenticeships,  the  first  of  their  kind 
in  radio,  is  to  provide  students  with  an  opportunity  for  applying 
their  theories  to  actual  commercial  broadcasting,  it  was  explained. 
It  is  also  planned  to  form  a  placement  committee  consisting  of  key 
men  in  radio,  to  assist  in  placing  worthy  graduates  in  the  industry, 
according  to  Professor  Dygert.  The  Marketing  Department  now  has 
an  enrollment  of  200  students  in  the  radio  courses,  it  was  stated. 

The  apprenticeship  course  will  start  September  24th  when 
New  York  University  opens  for  its  fall  semester.  Fields  to  be 
covered  in  the  apprenticeships  include  production  of  radio  programs, 
script  writing,  publicity,  promotion,  news,  announcing,  and  sales. 
Students  from  New  York  University1 s  School  of  Engineering  and  Music 
taking  courses  at  the  Marketing  Department,  will  also  be  permitted 
assignments  in  related  departments  at  WMCA. 

xxxxxxxx 


CHURCH  OF  AIR  ENTERS  TENTH  YEAR 


Nine  hundred  and  thirty-six  sermons  in  nine  years  —  two 
every  Sunday  delivered  by  prelates  representing  all  the  established 
faiths  in  this  country  —  is  the  impressive  record  of  the  Columbia 
Broadcasting  System’s  Church  of  the  Air  which  enters  its  tenth  year 
Sunday,  Sept.  1. 

Since  the  launching  of  the  first  broadcast  of  the  Church 
of  the  Air,  on  a  Sunday  early  in  September,  1931,  its  appeal  has 
grown  greatly,  a,  fact  that  is  attested,  to  by  the  many  thousands  of 
letters  (14,000  were  received  in  one  week)  that  pour  into  CBS  head¬ 
quarters  from  correspondents  who  for  the  most  part  tell  of  the  in¬ 
spiration  and  comfort  they  have  derived  from  the  sermons. 


XXXXXXXX 
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FCC  ATTORNEYS’  APPLICATIONS  APPROVED 


Applications  for  the  following  attorneys  to  practice 


before  the  Commission,  approved  by  the  Bar  Committee  on  August  21, 
1940,  were  approved  by  the  Commission: 


William  J.  Dempsey,  Washington,  D.  C. 

LeRoy  Mallory  "Edwards,  Los  Angeles,  Calif. 
Bernard  J.  Freedman,  New  York,  New  York. 

J.  C.  Ga.rlington ,  Missoula,  Montana 
Thomas  D.  Goode,  Charlotte,  North  Car. 

Joseph  Greenhill,  New  York,  New  York 
Simon  G-reenhill,  New  York,  New  York 
William  C.  Koplovitz,  Washington,  D.  C. 
Bernard  Cornelius  Mayberry,  Washington,  D.  C. 


XXXXXXXXX 


FOREIGN  LANGUAGE  BROADCASTS  RECORDING  URGED 


The  National  Council  on  Freedom  from  Censorship,  an 
affiliate  of  the  American  Civil  Liberties  Union,  urged  the  Federal 
Communications  Commission  to  promulgate  a  regulation  requiring 
radio  stations  to  have  recordings  made  of  all  foreign  language 
broadcasts  in  this  country. 


Quincy  Howe,  chairman  of  the  council,  in  a  letter  to 


R.  A.  M.  Craven  of  the  FCC,  pointed  out  that  his  organization 
disapproved  of  the  discussion  of  controversial  matters  of  commerc¬ 
ial  programs. 


"Such  programs,  as  under  the  National  Association  of 


Broa.dcasters  code,  should  be  handled  on  sustaining  time  with 
opportunity  of  discussion  of  other  views, "  Mr.  Howe  contended. 


He  requested  that  hearings  be  held  by  the  FCC  to  ascer¬ 


tain  the  advisability  and  practicability  of  required  transcriptions 
of  foreign  language  broadcasts. 


XXXXXXXXX 


CBS  COLOR  TELEVISING  SHOWN  FCC 
After  seeing  a  color  television  test  in  the  Columbia 


Broadcasting  studios  in  New  York  last  Thursday,  Chairman  James  L. 
Fly  of  the  FCC  was  quoted  as  spying: 


"I  do  not  doubt  that  if  we  can  start  television  off  as 


a  color  proposition,  instead  of  as  a  black  and  white  show,  it  wil 
have  a  greater  potential  acceptance  with  the  public.  It,  should  be 
hoped  that  other  leading  engineers  will  take  an  interest  in  tele¬ 
vision’s  color  possibilities  and  see  that  it  is  further  developed 


11 


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. 


8/30/40 


Chairman  Fly  was  asked  specifically  if  he  liked  televi¬ 
sion  in  color  better  than  in  black  and  white,  and  if,  in  his 
opinion,  the  public  also  would  like  it  better. 

"I  do  not  think  there  is  any  doubt  about  that  point”  he 
replied.  "Color  television  has  realism,  clarity,  definition  and 
life.  It  has  to  be  seen  to  be  realized.  " 

"At  the  present  rate  of  progress,"  Vice  President  Paul 
I.  Kersten  of  CBS  said,  "Columbia  hopes  to  have  its  color  system, 
which  has  been  in  the  intensive  stage  of  development  for  the  last 
six  months,  ready  for  commercial  use  by  January  1,  1941. " 

/ 

xxxxxxxxxx 


WLW  ENGINEERS  GOOD  AT  FARMING  ALSO 


At  Mason,  Ohio,  site  of  the  WLW  and  WLWO  transmitters, 
engineers  maintain  the  intricate  apparatus  which  keeps  WLW 5  s  50,000 
watts  on  the  air  20  hours  a  day,  a  Crosley  press  bulletin  relates. 
These  engineers  know  how  to  jump  the  power  to  500,000  watts  every 
night  at  midnight,  when  WLW  becomes  WLWO.  They  know  how  to  shi 
the  international  short  wave  station,  WLWO,  to  any  one  of  six  fre¬ 
quencies  so  that  South  America  will  get  optimum  reception. 

But  they  can  handle  other  engineering  problems  too. 

Just  across  the  road  from  the  WLW  transmitter  grounds  is  a  farm. 

This  week  the  well  ran  dry.  The  farmer  had  no  water  for  his  hogs. 
Could  the  radio  folks  across  the  way  help  him  out?  Could  they  run 
a  water  hose  over  to  his  farm?  Joseph  Whitehouse,  chief  transmitter 
started  to  think  about  it.  If  they  ran  a  hose  across  the  road, 
passing  automobiles  would  chew  it  up.  They  wandered  over  to  the 
edge  of  the  road  and  discovered  a  culvert.  It  ran  under  the  road. 
They  could  put  the  hose  through  this  culvert  and  traffic  would  be 
no  problem. 


But  how  could  they  get  the  hose  through  the  comparatively 
narrow  pipe?  They  couldn't  crawl  through  with  it.  A  little  more 
thinking  and  the  problem  was  solved.  There  are  several  pet  dogs 
on  the  transmitter  grounds.  They  took  one  of  the  dogs  over  to  one 
entrance  to  the  culvert,  attached  a  rope  to  the  dog's  neck,  and 
attached  the  hose  to  the  other  end  of  the  rope. 

Whitehouse  hedl  the  dog.  At  the  other  entrance  to  the 
culvert,  Baysore  stood  with  a  piece  of  meat.  He  whistled. 

Result:  dog  entered  culvert  ot  get  meat,  pulling  rope 

attached  to  hose.  When  dog  emerged,  Baysore  pulled  hose  through 
£nd  thus  hose  got  to  farm. 

Hogs  have  water.  Farmer  is  happy. 

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; ; TRADE  NOTES: ; : 


The  amateur  radio  operators  licenses  of  Andrew  Gibbs 
Cochran  and  Joseph  E.  Hryce  j  ,  both  of  Chicago,  were  suspended 
for  six  months  for  violating  FCC  rules. 


WLOK,  the  Fort  Industry,  Lima,  Ohio, 
a  construction  permit  to  increase  its  power  to 


has  been  granted 
250  watts. 


The  construction  permit  of  the  new  broadcast  station 
of  the  Cuyahaga  Valley  Broadcasting  Company  of  Cleveland  to 
change  its  transmitter  site  to  East  49th  Street  at  the  New  York 
Central  Failroad,  Cleveland. 


Station  KXOK,  operated  by  the  St.  Louis  Star- Times 
in  addition  to  increase  in  power  recently  asked  for  now  requests 
a  change  in  type  of  transmitting  equipment.  The  Pulitzer  Pub¬ 
lishing  Company  in  St.  Louis  has  applied  for  a  new  high  fre¬ 
quency  permit. 


Students  in  Washington,  D.  C.  may  take  a  combined 
course  in  radio  and  television  engineering  in  one  year  at  the 
National  Radio  Institute.  These  are  practical  courses  designed 
for  immediate  practical  work.  Laboratories  in  these  schools 
have  actual  television  equipment  for  experimentation  and  study. 


The  General  Electric  Company  has  announced  a  new  200- 
ampere,  d-c  arc  welder  which  will  provide  any  welding  current 
from  25  to  250  amperes.  This  wide  range  allows  all-day  manual 
welding  to  be  done  with  currents  up  to  200  amperes,  using  elec¬ 
trodes  from  1/16  to  3/16  inch  in  diameter.  Capacity  is  also 
provided  for  the  use  of  electrodes  as  large  as  1/4  inch  on  oc¬ 
casional  short  jobs. 


Peter  Brant,  WLW  chief  announcer,  interviewed  Wendell 
Willkie  before  he  was  nominated  in  Philadelphia,  and  recently 
covered  the  G, O.P.  standard  bearer’s  acceptance  speech  in  Elwood, 
He  is  said  to  be  the  only  announcer  for  an  independent  broad¬ 
casting  station  to  handle  both  the  ’’before"  and  "after"  aspects 
of  Willkie 1 s  spectacular  rise. 


NOTE:  Mr.  'Willkie' s  portable  is  "a  General  Electric. 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  SEPTEMBER  6,  1940 


■4i  v 


is  le  il  w  j | 

P9  194ft 


Thad  Brown  Withdrawal  Discussed . 2 

Havana  Reallocation  Announcements  Before  Sept.  29 . .  .  2 

FCC  Head  Impresed  By  Color  Television . . . .....3 


Confidence  In  Station  Foreign  Broadcast  Handling. 


4 


Zenith  First  Quarter  Zooms . 5 

Political  Demands  Put  Broadcasters  On  Spot . 6 

WSPD  Steps  Up  To  5  KW . . . . . . . 7 

Ship  Service  Radiophone  Rules  Revised . 7 

Cautions  Westinghouse  License  Renewal  Not  Precedent . 8 

Unsold  Millions . 8 


To  Investigate  FM  Network  Possibility . 

How  Battles  May  Be  Reported... . 

Army  Maneuvers  Via  Mobile  Pickups . 

Short-Wave  Diathermy  Device  Brings  Complaint 

Trade  Notes. . . 

Warner  Bros.  Station  Signs  New  ASCAP  Deal. . . 
Radio  Billings  Up  In  August . 


No.  1263 


.  9 
.  9 

10 

10 

11 

12 

12 


i 


THAD  BROWN  WITHDRAWAL  DISCUSSED 


It  was  anybody's  guess  what  the  fate  of  Col.  Thad  Brown 
would  be  with  regard  to  the  confirming  of  his  reappointment  to  the 
Federal  Communications  Commission  by  the  Senate  Interstate  Com¬ 
merce  Committee.  Colonel  Brown  has  been  kept  suspended  between 
heaven  and  earth  ever  since  the  middle  of  June. 

One  story  was  that  Senator  Wheeler,  of  Montana,  Chairman 
of  the  Committee,  had  asked  President  Roosevelt  to  withdraw  the 
nomination  and  that  the  President  had  promised  to  do  so.  This  was 
denied  at  the  White  House,  which  resulted  in  another  rumor  that 
the  President  had  insisted  on  Colonel  Brown’s  confirmation.  The 
pressure  was  said  to  have  come  from  Former  Governor  James  Cox, 
Democrat,  of  Ohio,  Brown's  home  State,  with  whom  Mr.  Roosevelt 
once  ran  as  a  vice-presidential  candidate. 

There  are  reported  to  be  only  three  votes  against 
Colonel  Brown’s  confirmation  on  the  entire  Senate  Committee  of 
about  twenty  members  -  Senator  Wheeler,  Democrat,  Senator  Tobey, 
Republican,  of  New  Hampshire,  who  has  been  the  leader  in  the  fight 
on  Brown,  and  Senator  Reed,  Republican,  of  Kansas.  The  political 
mixup  is  further  heightened  by  the  fact  that  Colonel  Brown  is  a 
Republican  and  his  nomination  was  sent  in  by  President  Roosevelt, 
a  Democrat.  The  late  Senator  Lundeen,  of  Minnesota,  was  also  a 
member  of  the  Interstate  Commerce  Committee  and  had  attended  quite 
a  number  of  its  sessions  but  so  far  as  known,  had  not  indicated 
how  he  had  intended  to  vote. 

The  Senate  Committee  will  probably  not  take  up  the  Brown 
matter  for  further  consideration  until  about  the  middle  of  next 
week  (Sept.  11),  unless  President  Roosevelt  withdraws  the  name  of 
Colonel  Brown  which,  of  course,  would  automatically  terminate 
further  consideration  of  his  name. 

xxxxxxxxxx 

HAVANA  REALLOCATION  ANNOUNCEMENTS  BEFORE  SEPT.  29 

The  Federal  Communications  Commission  has  completed  its 
study  in  the  matter,  and  it  is  expected  foreign  governments  will 
be  notified  before  September  29,  regarding  the  United  States  re¬ 
allocations  of  stations  in  compliance  with  the  Havana  Treaty  which 
was  ratified  last  December.  Many  U.  S.  broadcasting  stations  have 
received  serious  interference  in  the  past  from  Cuban  and  Mexican 
stations.  The  Havana  Treaty  provides  channels  of  their  own  for 
the  Cuban  and  Mexican  stations,  thus  elininating  this  source  of 
information.  It  is  expected  that  the  new  U.  S.  reallocations 
will  be  made  public  by  the  Commission  in  Washington  at  the  same 
time  they  are  sent  to  the  foreign  governments. 

XXXXXXXXXX 
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// 

FCC  HEAD  IMPRESSED  BY  COLOR  TELEVISION 


At  his  first  press  conference  after  Labor  Day,  Chairman 
James  L.  Fly  spoke  with  considerable  enthusiasm  about  the  labor¬ 
atory  development  of  color  television  by  Columbia,  a  demonstration 
of  which  he  had  recently  seen  in  New  York.  Chairman  Fly  also  took 
occasion  to  say  that  he  had  been  much  pleased  by  the  demonstration 
of  525-line  television  which  he  had  seen  at  the  Don  Lee  Laboratories 
in  Los  Angeles  not  long  ago  when  he  visited  the  West  Coast.  Al¬ 
together  the  Chairman  revealed  a  very  live  interest  in  the  progress 
which  he  said  was  now  being  made  by  the  television  engineers. 

Mr.  Fly  remarked  that  to  his  lay  mind,  the  Columbia 
images  in  color  were  a  distinct  improvement  and  he  hoped  the  various 
engineers  would  get  together  to  bring  it  to  a  perfect  state.  The 
Chairman  said  that  there  was  no  comparison  between  color  and  black 
and  white  television.  Color  gives  more  satisfaction  and  realism, 
also  better  definition  and  clarity,  he  felt. 

Mr.  Fly  spoke  of  how  different  flowers  showed  up  in  com¬ 
parison  with  black  and  white,  that  color  gave  quite  a  perspective. 

He  said  this  was  helpful  to  the  television  search  for  more  detail. 
The  color  pictures,  the  speaker  continued,  were  even  and  not  jumpy. 
He  said  it  was  the  first  time  the  industry  had  hit  on  a  method  of 
using  different  colors  on  one  frequency.  Mr.  Fly  explained  that 
only  receivers  with  special  equipment  could  get  television  in 
colors  and  that  since  the  CBS  was  not  in  the  business  of  manu¬ 
facturing  receivers,  the  experiment  called  for  the  cooperation  of 
others.  In  fact,  Mr.  Fly  hoped  the  whole  industry  would  get  to¬ 
gether  in  the  effort  to  perfect  television. 


The  following  clarifying  statement  with  regard  to  the 
color  television  test  which  Chairman  Flay  had  witnessed,  was  issued 
by  the  Columbia  Broadcasting  System: 


"Columbia's  announcement  of  its  laboratory  success  in 
developing  color  television  has  been  misinterpreted  as  a  forecast 
by  this  company  that  it  planned  to  broadcast  color  television  pro¬ 
grams  by  January  1  next.  This  misinterpretation  apparently  arises 
from  the  company's  employment  of  the  phrase  'commercial  use'  in 
apposition  to  'laboratory  development'.  It  was  Columbia's  intention 
to  use  the  word  'commercial'  in  reference  to  the  manufacture  of 
receiving  sets  and  transmitting  equipment  by  commercial  producers 
in  those  fields.  In  that  sense,  Columbia  does  hope  that  January  1st 
will  see  the  beginning  of,  or  at  least  substantial  progress  toward, 
the  manufacture  of  such  commercial  equipment.  Since  Columbia  is 
not  itself  a  commercial  manufacturer  of  television  apparatus,  it 
is  not  possible  for  this  company  to  say  how  long  it  will  take  to 
begin  actual  marketing  of  the  necessary  devices. 


"It  should  further  be  pointed  out  that  while  production 
of  commercial  equipment  would  enable  numerous  television  broad¬ 
casters  to  avail  themselves  of  the  Columbia  development,  this  does 
not  necessarily  mean  that  television  broadcasting  would  be  commer¬ 
cial  in  the  sense  of  carrying  sponsored  programs,  since  no  date 
has  yet  been  set  for  such  broadcast  service. " 

XXXXXXXX 


3 


■ 


I  .. 


9/6/40 


// 

CONFIDENCE  IN  STATION  FOREIGN  BROADCAST  HANDLING 


While  the  Federal  Communications  Commission  will  give 
further  consideration  to  a  request  addressed  to  Commander  T.A.  M. 
Craven,  then  Acting  Chairman,  by  Quincy  Howe,  Chairman  of  the 
American  Civil  Liberties  Union,  suggesting  that  all  stations  be 
required  to  make  recordings  of  foreign  language  broadcasts,  it  was 
stated  yesterday  that  the  Commission  has  confidence  in  the  ability 
of  the  stations  themselves  to  handle  this  matter,  that  some  already 
are  making  recordings  of  foreign  broadcasts  and  that  for  the  time 
being  at  least,  the  FCC  will  continue  to  let  this  question  remain 
in  the  stations'  hands. 

Mr.  Howe's  letter  follows: 


"August  22,  1940. 


Mr.  T.  A.  M.  Craven, 

Federal  Communications  Commission, 

New  Post  Office  Building, 

Washington,  D.  C. 

Dear  Mr.  Craven: 

We  understand  that  Station  WHIP  has  banned  the  German  Hour 
Program  of  the  Einheits  Front.  In  cancelling  the  commercial  broad¬ 
cast,  the  Station  stated  that  such  action  was  taken  'because  the 
German  Hour  as  now  being  presented  is  of  such  controversial  nature 
as  to  make  it  unacceptable  to  many  Americans'. 

The  Council  disapproves  of  the  discussion  of  controversial 
matters  on  commercial  programs.  Such  programs,  as  under  the  NAB 
code,  should  be  handled  on  sustaining  time  with  opportunity  of 
discussion  for  other  views. 

The  difficulty  in  dealing  with  foreign  language  broadcasts, 
however,  is  that  it  is  often  impossible  to  ascertain  or  prove  what 
in  fact  has  been  said.  Thus  in  the  case  of  Station  WHIP  it  is 
alleged  that  the  German  Hour,  in  advising  the  audience  of  the 
Chicago  'Keep  America  Out  of  War'  meeting  twice  broadcast: 

'I  bring  a  pressing  summons  to  all  members  and  to 
all  listeners  to  the  United  Front  Radio  Hour  to  do  their 
duty  by  attending  the  great  mass  meeting  in  Soldiers  Field. 
Entrance  is  free  and  the  speakers  are  Col.  Lindbergh  and 
Senator  Bennett  Champ  Clark.  None  dare  or  should  fail. ' 

Whether  the  above  quotation  is  an  accurate  report  or  trans¬ 
lation  cannot,  as  a  practical  matter,  be  conclusively  proved  even 
if  scripts  are  supplied,  since  there  is  always  the  possibility  of 
interpolation.  It  would  seem  to  us  that  one  way  to  meet  the  profr 
lem  of  foreign  language  broadcasts  is  by  a  regulation  requiring 
stations  to  have  recordings  made  of  all  such  programs.  Such  a 


9/6/40 


requirement  would  very  likely,  in  our  opinion,  provide  all  inter¬ 
ested  persons  and  government  agencies  with,  a  record  of  what  was  in 
fact  broadcast. 

"Because  we  deem  this  a  vital  matter,  we  sincerely  request 
that  hearings  be  held  by  the  Commission  to  ascertain  both  the 
advisability  and  practicability  of  requiring  recordings  of  foreign 
language  broadcasts. 

"Sincerely  yours, 

(Signed)  Quincy  Howe, 

Chairman " 

xxxxxxxxxxxxxxxx 


ZENITH  FIRST  QUARTER  ZOOMS 


Zenith  Radio  Corporation  reported  for  the  first  quarter 
of  its  fiscal  year  ended  July  31,  a  consolidated  operating  profit 
of  $651,136,  or  $1.32  a  share  after  depreciation,  taxes  and 
reserves  but  before  Federal  income  taxes. 

This  compared  with  profit  of  $29,321,  or  6  cents  a  share 
before  Federal  income  taxes  for  the  like  1939  quarter. 

Commenting  upon  this,  Commander  E.  F.  McDonald,  Jr. , 
President,  said  that  substantial  shipments  were  made  during  August 
and  unfilled  orders  on  hand  for  September  and  October  delivery 
give  promise  of  a  satisfactory  volume  of  business  for  the  current 
quarter. 


"The  company* s  new  frequency  modulation  receivers  were 
recently  displayed  at  distributors*  meetings  and  met  with  en¬ 
thusiastic  reception.  It  is  expected  that  sales  of  these  models 
will  steadily  increase  as  frequency  modulation  broadcasting  becomes 
more  general",  Commander  McDonald  continued.  "The  company  has 
made  available  to  automobile  manufacturers,  with  whom  it  has  con¬ 
tracts,  a  new  and  revolutionary  development  in  automobile  receiv¬ 
ers.  This  revolutionary  receiver  is  about  to  be  placed  on  the 
market  by  these  manufacturers  and  will  be  first  shown  to  the  public 
at  the  New  York  Automobile  Show.  Substantial  orders  have  already 
been  placed  with  the  company  by  automobile  manufacturers  for 
radios  to  be  used  in  their  new  1941  models  and  deliveries  on  auto 
radios  embodying  this  new  invention  started  in  August. " 

XXXXXXXXXX 
-  5  - 


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9/6/40 


POLITICAL  DEMANDS  PUT  BROADCASTERS  ON  SPOT 


Between  demands  for  free  time  by  the  Republicans  every 
time  the  President  makes  a  "non-political"  speech,  and  the  Hatch 
Act  putting  a  ceiling  on  campaign  expenditures,  the  broadcasters 
are  on  the  spot.  How  much  the  parties  will  spend  on  radio  is  not 
known.  Because  of  the  payment  of  some  old  debts,  the  entire 
Republic  campaign  budget,  Chairman  Martin  of  the  Republican  National 
Committee,  estimates,  will  be  limited  to  $1,550,000.  The  Hatch 
Act  placed  a  limit  of  $3,000,000  on  each  party’s  expenses. 

Up  to  now  the  only  important  money  in  sight  for  the 
broadcasters  is  an  hour’s  time  which  the  Democrats  have  reserved 
for  a  final  broadside  on  all  networks  at  11  P.M.,  the  night  before 
election.  "Johnny"  Johnstone,  Democratic  radio  chief,  believes 
the  Democrats  might  spend  as  much  as  $250,000,  which  is  only  about 
half  as  much  as  in  1936. 

President  Roosevelt  as  president  and  candidate  this 
year,  is  in  the  same  position  as  Mr.  Hoover  was  in  1932.  During 
the  campaign  period  the  latter  made  thirteen  speeches  which  were 
broadcast,  of  which  five  were  "non-political".  The  sustaining 
program  speeches  were  the  dedication  of  a  statue  to  Cardinal 
Gibbons,  the  cornerstone  laying  of  the  new  Post  Office  Department 
Building,  a  meeting  of  the  American  Bar  Association,  a  Welfare  and 
Relief  Mobilization,  all  in  Washington,  and  the  Women’s  Conference 
on  Child  Welfare  in  New  York.  The  remaining  eight  of  President 
Hoover's  speech  broadcasts  were  paid  for  at  commercial  rates. 

Time  alone,  not  counting  the  cost  of  talent  which  would 
have  to  be  paid,  or  such  an  item  as  $3,000  which  it  cost  the 
broadcasters  to  run  long  telephone  lines  into  the  National  Parks 
for  the  President’s  last  broadcasts,  to  say  nothing  of  the  travel¬ 
ing  expenses  of  the  announcers  and  engineers  -  just  the  time  on 
the  air  of  the  three  networks  for  a  half  an  hour  at  night  would  be 
around  $30,000.  Of  course  the  broadcasters  want  to  do  everything 
they  possibly  can  for  Mr.  Willkie  if  for  no  other  reason  than  if 
elected  he  would  be  their  next  boss.  On  the  other  hand  via  the 
Federal  Communications  Commission,  upon  which  a  continuation  of 
their  licenses  depends,  Mr.  Roosevelt  is  their  present  boss.  And 
as  one  broadcaster  sorrowfully  remarked,  "Besides  any  money  we 
might  lose  on  free  presidential  broadcasts,  we  have  still  a  third 
boss  who  must  be  kept  pleased  -  old  Mr.  John  Q.  Public. " 

So  altogether  up  to  the  present  meriting  at  least,  the 
broadcasters  are  not  looking  forward  to  the  present  campaign  with 
any  particular  glee.  Never  in  the  history  of  the  radio  has  there 
been  any  such  bitter  presidential  contest  as  the  present  one  pro¬ 
mises  to  be.  The  others  have  been  powder  puff  affairs  compared 
to  the  fight  between  FDR  and  Mr.  Willkie,  and  the  men  running  the 
networks  and  the  broadcasting  stations  will  heave  a  large  sigh  of 
relief  wThen  it  is  over. 

// 


xxxxxxxxxx 


9/6/40 


WSPD  STEPS  UP  TO  5  KW 


Station  WSPD,  at  Toledo,  Ohio,  of  which  John  H.  Ryan 
is  the  heed,  has  been  granted  a  license  by  the  Federal  Communica¬ 
tions  Commission  to  cover  a  construction  permit  to  increase  the 
power  of  the  station  from  1  to  5  kilowatts  at  night,  also  the 
installation  of  directional  antenna  for  night  use,  and  authority 
to  determine  operating  power  by  direct  measurement  of  antenna 
power. 

WSPD,  owned  by  The  Fort  Industry  Co. ,  is  on  1340  kc.  , 
and  up  to  this  time  has  used  5  KW  in  the  daytime  only. 

xxxxxxxxxx 


SHIP  SERVICE  RADIOPHONE  RULES  REVISED 


The  Federal  Communications  Commission  has  modified  its 
rules  governing  ship  service  to  permit  the  use  of  the  frequency 
2638  kilocycles  for  telephone  communications  between  vessels. 

Allocation  of  this  frequency  is  intended  to  relieve  the 
congestion  now  existing  on  the  present  intership  frequency  2738 
kilocycles.  It  is  in  accord  with  the  Inter- American  Radiocommuni¬ 
cations  Arrangement,  as  revised  this  year  at  Santiago,  Chile,  at 
which  the  band  2634-2642  kilocycles  was  assigned  to  ’’Northern 
Zone"  aeronautical  and  intership  communication  services,  with  the 
frequency  2638  kilocycles  specifically  designed  for  the  latter. 

The  Commission  rules  were  further  modified  to  avoid 
interference  between  the  two  services  by  banning  use  of  2638  kilo¬ 
cycles  on  the  inland  waters  of  the  United  States,  including  the 
Great  Lakes.  The  frequencies  2626  and  2640  kilocycles  are  used  by 
stations  in  the  aeronautical  fixed  service  within  the  continental 
United  States. 

The  number  of  ship  radiotelephone  stations  has  tripled 
in  the  past  two  years.  Practically  all  of  the  now  approximately 
2,800  ship  radiotelephone  stations  licensed  by  the  Commission  have 
been  limited  to  transmission  on  2738  kilocycles.  This  is  the  only 
frequency  (except  2182  kilocycles  safety  frequency  on  the  Great 
Lakes  exclusively  and  certain  ultra-high  frequencies  not  exten¬ 
sively  developed)  which  has  been  available  heretofore  for  inter¬ 
ship  communication. 

XXXXXXXXX 

the  movie  actor,  has  been  authorized  to 
his  plane. 

XXXXXXXXX 

-  7  - 


James  Stewart, 
install  a  transmitter  in 


6/9/40 


CAUTIONS  WESTING-HOUSE  LICENSE  RENEWAL  NOT  PRECEDENT 


Cautioning  that  its  action  must  not  be  interpreted  as 
a  precedent  for  subsequent  approval  of  broadcast  station  licensees 
disposing  of  their  rights  and  privileges  through  contract,  the 
Federal  Comrauni options  Commission  has  granted  applications  of 
Westinghouse  Electric  and  Manufacturing  Co.  for  renewal  of 
licenses  of  Stations  WBZ  and  WBZA,  at  Boston,  KYW,  at  Philadelphia, 
and  KDKA  at  Pittsburgh. 

These  stations  were  among  those  which  the  Commission,  on 
January  29,  designated  for  hearing  in  the  matter  of  contractual 
relations.  Hearing  on  the  Westinghouse  stations,  set  for  October  7, 
is  now  cancelled. 

In  its  petition  for  reconsideration  and  grant  of  the 
renewal  applications  without  hearing,  Westinghouse  alleged  that 
it  has  held  operating  licenses  for  these  stations  for  more  than 
18  years,  and  as  "the  pioneer"  in  the  development  of  broadcasting 
has  continued  its  interest  and  research  therein;  that  prior  to 
Commission’s  decision  to  hold  hearing  the  company  considered  the 
desirability  of  terminating  its  agreement  with  the  National  Broad¬ 
casting  Co.  ,  and  did  so  as  of  July  1;  that  Westinghouse  now  sup¬ 
plies  its  own  programs  for  local  broadcasting  and  has  a  new 
arrangement  with  National  on  the  usual  station  affiliation  basis 
for  network  programs. 


The  Westinghouse  International  Short  Wave  Station  WPIT 
in  Pittsburgh  shortly  will  be  moved  to  Boston  as  one  of  the  steps 
being  undertaken  by  Westinghouse  to  improve  transmission  of  short 
wave  programs  to  the  countries  of  Latin  America. 

While  no  definite  date  had  been  set  for  the  transfer, 
short  wave  broadcasts  on  WPIT’s  six  frequencies  will  be  heard  from 
the  new  location  sometime  this  Fall.  WPIT  is  beamed  on  Latin 
America  during  13  hours  of  its  present  16-hour  broadcasting  day. 

It  was  pointed  out  that  engineering  tests  have  conclusively  shown 
that  transmission  starting  from  salt  water  sites  is  far  more 
effective  than  transmission  from  an  inland  location. 

xxxxxxxxxxx 


UNSOLD  MILLIONS 


These  figures  with  regard  to  farm  radio  are  furnished 
by  Radio  Today: 


Total  occupied  farms 
Farms  without  radios 
Total  electrified  farms 
Farm  population 


6,500,000 
4,000,000 
1, 786,000 
32,000,000 


XXXXXXXXXX 
-  8  - 


0>W\ 


9/6/40 


TO  INVESTIGATE  EM  NETWORK  POSSIBILITY 


Plans  for  the  establishment  of  a  special  frequency 
modulation  (FM)  network  on  a  nationwide  scale  took  another  step 
forward  this  week  following  a  meeting  of  representative  broad¬ 
casters  held  in  Chicago. 

Attended  by  radio  executives  from  territories  embracing 
many  of  the  country's  greatest  cities,  this  meeting  voted  to  con¬ 
duct  an  exploratory  investigation  on  the  feasibility  of  program¬ 
ming  a  group  of  FM  stations  in  selected  markets  with  national 
programs.  A  committee  of  seven  was  named  to  supervise  such  an 
investigation. 

Its  members  comprise  John  Shepard,  3rd,  of  The  Yankee 
Network,  Boston;  William  Way,  KVOO,  Tulsa,  Okla. ;  Elzey  Roberts, 
KXOK,  St.  Louis,  Mo.;  Walter  Damm,  WTMJ,  Milwaukee,  Wis. ;  Harry 
Stone,  WSM,  Nashville,  Tenn.  ;  Gordon  Gray,  WSJS,  Winston-Salem, 
N.C.;  and  H.  L.  Pettey,  Los  Angeles. 

A  survey  conducted  by  FM  Broadcasters,  Inc. ,  in  the  past 
few  weeks  reveals  that  a  considerable  assortment  of  FM  receivers, 
most  of  them  of  the  combination  type  with  both  standard  broadcast 
and  the  new  system,  are  to  be  produced  by  14  radio  manufacturers. 
These  include  Ansley,  Emerson,  Farnsworth,  Freed-Eiseraann,  General 
Electric,  Hallicrafters,  Hammarlund,  National,  Philharmonic,  Pilot, 
Scott,  Stewart- Warner,  Stromberg-Carlson  and  Zenith. 

Noteworthy  is  the  general  price  range,  extending  from 
$50  "adapter"  units,  through  the  $75-to~$100  combination  receivers, 
up  to  the  custom-built,  top-price  sets  that  sell  in  the  starry 
realms  around  $600. 

The  first  community  in  the  Chicago  area  to  adopt  fre¬ 
quency  modulation  for  emergency  communication  purposes  is  the 
City  of  Maywood,  Ill.  Early  this  Fall,  a  new  two-way  General 
Electric  FM  communication  system  for  the  police  of  Maywood  will  go 
into  operation. 

xxxxxxxxxx 

HOW  BATTLES  MAY  BE  REPORTED 

Judging  from  a  BBC  broadcast  heard  over  WOR-Mutual 
recently,  the  English  are  employing  the  same  technique  of  delayed 
recorded  broadcasts  WOR  itself  uses  so  effectively.  On  a  recent 
Sunday  broadcast  about  two  minutes  at  the  end  of  the  program  were 
devoted  to  an  on-the-spot  description  of  the  drowning  of  a  Nazi 
Messerschmidt  plane  by  British  anti-aircraft  fire.  The  two  min¬ 
utes  were  obviously  recorded  by  a  mobile  unit  and  then  played  as 
oart  of  the  regular  news  broadcast.  The  English  announcer,  how¬ 
ever,  did  not  explain  where  or  when  the  incident  was  observed. 

XXXXXXXXXX 
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9/6/40 


ARMY  MANEUVRES  VIA  MOBILE  PICKUPS 


The  mobile  unit  of  Station  WLW  in  Cincinnati  has  just 
completed  a  series  of  instantaneous  transcriptions  at  the  First 
Army  maneuvers  held  in  Upper  New  York,  near  Ogdensburg. 

The  special  events  series,  made  750  miles  away  from 
Cincinnati,  was  directed  by  Jerry  Branch,  Technical  Advisor  to 
James  D.  Shouse,  Vice-Fresident  of  the  Crosley  Corporation  in 
charge  of  broadcasting. 

The  recordings  were  broadcast  nightly  by  Station  WLW 
upon  receipt.  The  most  interesting  features  of  the  maneuvers  were 
described.  In  a  bulletin  of  the  Public  Pelations  Division  of  the 
First  Army,  was  this  comment:  "With  the  ability  to  dash  to  any 
scene  of  action,  the  WLW  mobile  unit  makes  it  possible  for  the 
millions  of  WLW  listeners  to  hear  the  realism  of  military  opera¬ 
tions.  " 


Among  the  recordings  were  exciting  accounts  of  dive 
bombing,  Army  engineers  constructing  a  pontoon  bridge  under  gun¬ 
fire,  roaring  attacks  by  fleets  of  tanks,  and  actual  demonstra¬ 
tions  of  the  mechanized  streamlined  division's  capabilities,  with 
the  motto,  "Not  a  Man  Marches". 

From  the  Army’s  standpoint,  it  was  said,  the  test  was 
gratifying  in  that  it  showed  the  important  part  radio  mobile  units 
can  play  when  operating  in  conjunction  with  the  Army  in  a  national 
emergency. 


XXXXXXXXX 

SHORT- WAVE  DIATHERMY  DEVICE  BRINGS  COMPLAINT 


Alleging  misrepresentation  in  the  sale  of  an  electrical 
device  designated  as  "Atlas  Short  Wave  Diathermy"  advertised  for 
use  in  the  treatment  of  certain  diseases,  the  Federal  Trade  Commis¬ 
sion  has  issued  a  complaint  against  Jacob  L.  Goldman,  alias  J.  L. 
Coleman,  trading  as  Atlas  Health  Appliance  Company,  2430  West 
Sixth  Street,  Los  Angeles,  California. 

The  complaint  alleges  that  in  addition  the  respondent 
has  disseminated  false  advertisements  in  that  the  advertisements 
of  its  device  fail  to  reveal  that  its  use  under  the  conditions 
prescribed  in  the  advertisements  or  under  such  conditions  as  are 
customary  or  usual,  may  result  in  serious  and  irreparable  injury 
to  health. 


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TRADE  NOTES 


R.  C. A.  Communications  has  been  granted  temporary  author¬ 
ity  by  the  Federal  Communications  Commission  to  communicate  with 
Administration  of  Posts  and  Telecommunications,  Stations  0?L  and 
0PM  at  Leopoldville,  Belgian  Congo. 


MCA1  s  series  of  broadcasts  designed  to  promote  inter¬ 
national  interest  in  the  formation  of  a  union  of  wo rid- wide  dem¬ 
ocracies  is  being  rebroadcast  by  special  recording  to  Europe, 
South  America  and  Canada  through  the  facilities  of  the  World  Wide 
Broadcasting  Foundation. 


The  processes  entailed  in  the  manufacture  of  the  radio 
tube  will  be  outlined  on  the  "Visiting  Kentucky’s  Industries" 
broadcast  at  4:30  P.M.  ,  EST,  over  WLW  on  Sunday,  September  8. 

The  program  will  originate  at  the  Kenrad  Tube  and  Lamp  Corporation, 
Owensboro,  Ky. 


E.  Arthur  Baldwin  and  Otto  Pruessman  have  retired  as 
Vice-Presidents  and  European  and  Far  Eastern  Managers  of  the 
International  General  Electric  Company. 


Tom  Flanagan,  formerly  of  Time  Magazine ,  has  been  appoint¬ 
ed  Magazine  Division  Manager  of  Columbia’s  (CBS)  Publicity  Depart¬ 
ment. 


Pilot  Portable  Radio  is  advertising  "Only  one  cent  per 
hour  -  Lowest  battery  operating  cost. " 


W2XY0,  Ma ckay  Radio  &  Telegraph  Company,  has  been  granted 
temporary  authority  to  operate  an  experimental  station  at  Brentwood, 
N.Y.  ,  using  frequency  159525  kc . ,  and  80  watts  power. 


// 


The  National  Broadcasting  Company  has 
addition  of  the  199th  station  to  its  networks  - 
Montgome ry ,  Alabama . 


announced  the 
Station  WSFA, 


For  some  time  WOR  has  been  signing  on  and  off  the  air 
with  the  "Star  Spangled  Banner".  Looking  for  an  appropriate 
announcement  to  go  with  the  twice  daily  playing  of  the  National 
Anthem,  the  station’s  officials  wanted  something  that  would  be  in 
beeping  with  the  spirit  of  these  times,  yet  not  blatantly  patriotic. 
So  WOR  will  now  follow  its  morning  rendition  of  the  Anthem  with  the 
greeting  "Good  Morning,  America.’  "  and  at  night  with  "Good  Night, 
America! " 


XXXXXXXXXX 


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WARNER  BROS.  STATION  SIGNS  NEW  A3CAP  DEAL 


Station  KFWB,  Los  Angeles,  owned  by  Warner  Bros. 

Pictures,  Inc. ,  has  signed  a  new  five-year  music  license  with  the 
American  Society  of  Composers,  Authors  and  Publishers. 

The  contract,  negotiated  by  Harry  Maizlish,  General 
Manager  of  KFWB,  and  John  G.  Paine,  G-enerai  Manager  of  ASCAP, 
embraces  the  new  terms  recently  announced  by  the  Society,  granting 
substantial  reductions  to  individual  radio  stations. 


In  announcing  the  signing  of  the  deal,  Maizlish  state ds 


"Warner  Bros.,  as  producers  of  motion  pictures,  as  oper¬ 
ators  of  theatres,  and  Station  KFWB,  have  come  to  know  pretty  well 
what  the  public  wants  in  the  way  of  entertainment.  Music  is  a 
primary  essential.  We  know  ASCAP  has  the  music  that  the  public 
wants,  and  we  will  give  the  public  what  it  wants. 

"Aside  from  our  obligations  under  the  broadcasting 
license  granted  to  us  by  the  FCC,  which  requires  a  station  to 
operate  in  the  public  interest,  we  consider  it  only  good  business 
to  supply  the  deitfands  of  the  people.  Warners  have  always  main¬ 
tained  this  policy  in  their  motion  picture  and  theatre  activities, 
and  they  are  following  the  same  idea  in  the  operation  of  KFWB. 

"We're  out  to  hold  and  increase  our  listeners  and  that's 
why  we've  signed  with  ASCAP.  " 


Paine,  commenting  on  the  deal,  said,  in  part: 

"Through  the  signing  of  this  contract  by  KFWB,  the  public 
in  the  Los  Angeles  area,  one  of  the  most  important  territories  of 
the  country,  will  continue  to  get  the  best  in  music.  What  is  also 
very  important,  advertisers  are  assured  of  unlimited  cooperation 
in  preparing  their  programs  and  thus  given  an  adequate  contact  with 
a  large  buying  public. " 

XXXXXXXXXXX 


RADIO  BILLINGS  UP  IN  AUGUST 


National  Broadca 
13,738,262,  an  increase  of 
For  the  first  eight  months 
rise  over  the  like  period 
casting  Company  in  August 
The  total  for  the  first  ei 
22.2  percent.  Mutual  bill 
percent  gain  over  last  yea 
an  increase  of  21. 9  percen 


sting  Company  billings  in  August  totaled 
12. 9  percent  over  August  of  last  year, 
the  figure  was  $32,128,576,  a  10  percent 
of  1939.  Billings  of  the  Columbia  Broad- 
amounted  to  $2,875,657,  up  22.8  percent, 
ght  months  was  $26,404,427,  a  rise  of 
ings  last  month  totaled  $227,865,  a  10.9 
r.  The  cumulative  total  was  $2,494,370, 


XXXXXXXXX 
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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


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S£p  1 1 1940  ^ 


INDEX  TO  ISSUE  OF  SEPTEMBER  10,  1940 


Willkle's  F.D.  R.  Challenge  Recalls  1936  Attempt . 2 

U.  S.  Sets  2nd  In  Portuguese  E.  Africa . 3 

FCC  Backs  Payne  In  Texas  Revocation . 4 

Texas  Dailies  Operate  Station  KG-KO  Jointly . 4 

NAB  Bulletin  Resented . 5 

Local  Need  Saves  Station;  Payne  Dissents . .....6 

Continued  Television  Interest  Of  FCC  Chairman  Indicated . 7 

Public  Interest  Only  FCC  Program  Strike  Concern . . . 8 

"Gait"  Taylor  Dies . 8 

FCC  Extends  Chain  Broadcasting  Briefs  Time . .9 

Rumanians  Hear  Minister's  Fate  Over  Radio . . . 9 

Trade  Notes . 10 

Cutler  New  NBC  Director;  Egner  V~P . 11 

Cornell  Links  With  Columbia . 11 

New  Facsimile  Patents  For  Finch . . . . . . . 12 

W0R  Executives  To  Give  College  Lectures . 12 


No.  1264 


September  10,  1940. 


WILLKIE ' S  F.D.R.  CHALLENGE  RECALLS  1936  ATTEMPT 


Wendell  Willkie's  invitation  to  President  Roosevelt  to 
debate  brings  to  mind  the  attempt  Senator  Arthur  H.  Vandenberg, 
of  Michigan,  made  to  do  the  same  thing  with  Mr.  Roosevelt  in  a 
radiobroadcast  from  Chicago  by  using  electrically  transcribed 
reproductions  of  quotations  from  earlier  addresses  by  the  Presi¬ 
dent.  In  theory  the  idea  seemed  perfect  but  as  it  worked  out, 
the  broadcast  in  its  day  created  almost  as  much  of  a  sensation, 
and  in  certain  quarters  as  much  indignation,  as  did  Orson  Welles 
the  night  he  had  the  Martians  landing  in  New  Jersey. 

It  was  in  the  heat  of  the  1936  presidential  campaign  and 
the  thing  started  as  a  press  agent  stunt.  Recordings  of  excerpts 
were  secured  from  President  Roosevelt's  inaugural  address  of  1933 
and  his  speech  of  acceptance  of  1932  reproducing  Roosevelt's  voice. 
The  idea  was  to  play  one  of  these  excerpts  on  a  phonograph  to  be 
answered  by  Senator  Vandenberg  in  person.  Then  play  another,  and 
Mr.  Vandenberg  answer  that,  and  so  on,  -  all  to  be  broadcast  as  a 
debate,  though  explained  to  the  public  that  it  was  not  the  Presi¬ 
dent  actually  speaking  but  a  recording. 

However,  the  Columbia  Broadcasting  System  sat  down  on 
the  idea  flatly,  refusing  to  put  the  recording  on  the  air.  Never¬ 
theless  those  in  charge  of  the  broadcast  went  ahead  with  their 
plans  just  the  sarnie,  being  careful  not  to  inform  Senator  Vandenberg 
that  the  network  had  offered  any  objection.  It  was  the  network's 
understanding  that  it  was  simply  to  be  a  speech  by  Mr.  Vandenberg 
but  the  conspirators  had  a  phonograph  hidden  behind  a  curtain  on 
the  stage  near  a  microphone. 

There  were  some  introductory  remarks  by  Senator  Vanden¬ 
berg  the  night  of  the  broadcast  who  referred  to  something  in  one 
of  President  Roosevelt's  speeches  and  then  turning  towards  the 
phonograph,  which,  of  course,  the  audience  couldn't  see,  said: 

"Let's  hear  exactly  what  the  President  did  say."  Fnereupon  the 
voice  of  President  Roosevelt  boomed  out  from  the  phonograph.  This 
procedure  was  repeated.  The  Senator  via  the  phonograph  would  have 
Mr.  Roosevelt  make  certain  remarks  and  then  would  answer  them. 

The  procedure  was  all  clear  to  the  a.udience  but  over  the 
air  it  almost  caused  a  riot.  Everybody  seemed  to  get  the  same 
idea  to  tell  somebody  else  about  it  over  the  telephone.  The  result 
was  that  when  Columbia  broadcasting  officials  in  New  York  and 
Washington  tried  to  communicate  with  Chicago  to  have  the  broadcast 
cut  off,  and  when  Chicago  tried  to  get  New  York,  nobody  could  get 
anybody  because  all  the  telephone  switchboards  were  jammed.  One 
version  of  the  story  was  that  when  Columbia  refused  to  make  the 
broadcast,  those  in  charge  went  ahead  with  it  not  expecting  to 

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9/10/40 


get  away  with  it  but  only  to  get  the  publicity  from  having  the 
broadcast  cut  off. 

When  Harry  C.  Butcher,  Vice-President  of  the  Columbia 
Broadcasting  System  in  Washington,  heard  the  President’s  voice 
from  the  phonograph,  his  head  hit  the  ceiling  because  there  had 
been  a  long  standing  rule  that  no  electrically  transcribed  records 
should  be  broadcast. 

"I  tried  to  get  New  York  but  all  the  telephone  wires 
were  jammed  with  calls",  Mr.  Butcher  said,  recalling  the  incident. 
“It  was  a  regular  telephone  blitzkrieg.  I  learned  later  that  in 
our  New  York  offices  far  from  being  able  to  talk  to  Chicago,  our 
people  couldn't  even  talk  to  each  other  from  the  different  floors 
of  their  building. 

"That  was  the  night  I  started  smoking  again  after  having 
been  on  the  wagon  for  three  years.  It  was  the  worst  mess  I  ever 
saw.  :i 


Some  of  the  stations  cut  off  the  broadcast  on  their  own 
initiative  but,  generally  speaking,  it  is  believed  that  most  of  the 
broadcast  got  through.  There  were,  of  course,  immediate  explana¬ 
tions  on  the  part  of  Columbia  to  the  Federal  Communications  Com¬ 
mission  and  apologies  to  the  President  but  it  was  quite  awhile 
before  the  incident  was  considered  officially  closed. 

XXXXXXXX 

U.S.  SETS  2ND  IN  PORTUGUESE  E.  AFRICA 


Portuguese  East  Africa  offers  a  small  but  steady  demand 
for  radio  receivers,  the  American  Consulate,  Lourenco  Marques, 
advises.  The  principal  American  and  foreign  radio  manufacturers 
are  represented  by  local  agents  at  Lourenco  Marques  and  Beira. 
According  to  latest  official  statistics,  2,910  receiving  sets  are 
registered  for  license  purposes.  Of  this  number,  a  Dutch  product 
leads  with  743  sets,  two  American  makes  are  next  with  396  and  292 
sets,  respectively,  a  British  product  is  fourth  with  278  sets,  and 
another  American  make  is  fifth  with  246  sets. 

Imports  of  radio  receiving  sets  in  1938  totaled  1,078, 
being  supplied  by  the  following  countries:  United  States  393, 
Netherlands  495,  Germany  86,  United  Kingdom  70,  and  all  others  34. 
All  sets  and  parts  are  imported  as  there  is  no  local  manufacture. 

XXXXXXXXX 


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FCC  BACKS  PAYNE  IN  TEXAS  REVOCATION 


The  Federal  Communications  Commission  has  affirmed  the 
recommendation  of  Commissioner  Payne  to  revoke  the  license  of 
Eagle  Broadcasting  Co.,  Inc.  (KOFI),  Brownsville,  Texas,  as  follows: 

"Upon  consideration  of  all  the  facts  of  record,  the  Com¬ 
mission  concludes  in  its  Proposed  Findings  that  ;the  respondent, 

Eagle  Broadcasting  Company,  Inc.  ,  licensee  of  Station  KGFI,  on 
October  10,  1938,  without  the  consent  in  writing  of  this  Commis¬ 
sion  transferred  and  delivered  to  James  G-.  Ulmer  and  M.  D. 

Gallagher,  their  heirs,  successors  and  assigns,  complete  and 
exclusive  possession,  management,  operation  and  control  of  said 
station,  and  also  assigned  and  transferred  to  them  all  of  the 
rights  theretofore  granted  to  the  licensee  corporation  in  and  by 
the  terms  of  the  station  license,  in  violation  of  Section  310(b) 
of  the  Communications  Act  of  1934  as  amended  and  the  Rules  and 
Regulations  of  the  Commission . 

"’The  respondent  corooration  failed  to  file  with  the 
Commission  the  said  contract  with  James  G.  Ulmer  and  M.  D.  Gallagher, 
or  other  information,  affecting  and  concerning  the  ownership, 
operation  and  control  of  Station  KGFI,  as  required  by,  and  in 
violation  of,  the  Rules  and  Regulations  of  the  Commission.  .  .  . 

Such  acts  and  conduct  on  the  part  of  the  respondent  constitute 
grounds  for  revocation  of  the  license  to  operate  said  Sta.tion  KGFI. 
issued  by  this  Commission  to  the  Eagle  Broadcasting  Co.  ,  Inc.  In 
view  of  the  foregoing,  the  revocation  order  heretofore  entered  in 
this  ma.tter  on  the  22nd  day  of  March,  1940,  should  be  affirmed.  ’  " 

XXXXXXXXXX 


TEXAS  DAILIES  OPERATE  STATION  KGKO  JOINTLY 


The  Dalles  Morning  News  and  the  Fort  Worth  Star-Telegram 
assumed  joint  operation  of  Station  KGKO,  Fort  Worth,  following  the 
purchase  of  half- interest  in  the  KGKO  Broadcasting  Corp.  from  the 
Star- Tele gram  by  the  News.  The  two  papers  have  shared  the  800- 
kilocycle  channel  on  WFAA-WBAP  almost  continuously  since  1922. 

Officers  of  the  KGKO  Broadcasting  Corp. ,  representing  the 
newspapers,  include:  Chairman  of  the  Board,  G.  B.  Dealey,  Chairman 
of  the  Board  of  the  News;  President,  Amon  G.  Carter,  President  of 
the  Star- Tele gram ;  Vice-Presidents,  E.  M.  (Ted)  Dealey,  President 
of  the  News ,  and  B.  N.  Honea,  Vice-President  and  General  Manager  of 
the  Star^Telegram:  Treasurer,  James  M.  Moroney,  Vice-President  and 
Secretary  of  the  News;  Secretary,  Harold  V.  Hough,  Treasurer  and 
Circulation  Manager  of  the  Star- Tele gram.  Mr.  Moroney  and  Mr. 

Hough  will  supervise  the  radio  properties  of  their  newspapers  in 
their  respective  cities. 

Martin  B.  Campbell,  former  General  Manager  of  WFAA,  and 
Sales  Manager  of  WFAA-WBAP,  is  now  Managing  Director  of  WFAA-WBAP 
and  KGKO. 

XXXXXXXXXX 
-  4  - 


9/10/40 


NAB  BULLETIN  RESENTED 


When  it  became  known  that  the  War  Department  had  appro¬ 
priated  $250,000  for  advertising  in  newspapers  and  farm  papers  to 
promote  Army  recruiting,  some  of  the  leaders  of  organized  broad¬ 
casting  became  excited,  the  Editor  &  Publisher  says  in  an  editorial. 
They  went  to  Washington  and  told  the  Department  that  they  didn't 
want  any  compensation  for  radio's  recruiting  announcements,  but 
believed  that  the  earmarking  of  funds  for  other  media,  with  radio 
omitted,  put  radio  at  a  competitive  disadvantage;  that  the  Army's 
preference  would  be  used  as  proof  that  newspapers  were  a  superior 
medium. 


"That's  silly  enough,  by  itself,"  the  editorial  continues, 
"but  the  Aug.  24  bulletin  of  the  National  Association  of  Broad¬ 
casters  adds  this: 

.  .  evidently  radio  operators  have  a  more  generous 
patriotic  sense  than  have  newspaper  publishers  because  it  was 
stated  that  at  no  time  had  the  War  Department  been  asked  to  pur¬ 
chase  radio  advertising  time  for  recruiting  or  national  defense 
purposes.  1 


"Editor  &  Publisher  advocated  some  weeks  ago  that  the 
Department  provide  funds  for  newspaper  advertising  in  the  interests 
of  recruiting.  So  far  as  we  know,  no  official  representative  of 
any  newspaper  or  newspapers  did  likewise.  And  from  what  we  have 
since  learned,  the  appropriation  had  been  determined,  but  not 
announced,  prior  to  our  editorial.  In  our  own  mind  -  concerning 
which  we  are  competent  to  speak  -  there  was  no  question  of  patriot¬ 
ism. 

"We  believed  that  display  space  in  newspapers  would  do 
for  the  Army  what  it  has  done  for  others  who  have  used  it  intel¬ 
ligently,  deliver  the  goods  more  quickly  and  economically  than  any 
other  medium. 

"We  still  think  so.  We'll  also  stack  the  thousands  of 
columns  given  by  newspapers  to  all  phases  of  national  defense,  as  a 
test  of  patriotism,  against  the  50-second  trailing  announcements 
for  recruiting  donated  by  the  broadcasters  -  if  such  a  test  weren't 
asinine  from  either  standpoint.  There  isn't  any  question  of  rela¬ 
tive  patriotism  between  press  and  radio.  Each  has  its  function  in 
the  promotion  of  national  defense. 

"We'd  feel  better  if  we  heard  that  the  next  bulletin  of 
the  N.  A.  B.  had  withdrawal  the  unwarranted  slur  on  newspapers  and 
called  the  incident  closed.  " 

XXXXXXXXXX 

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9/10/40 


LOCAL  NEED  SAVES  STATION;  PAYNE  DISSENTS 


Rather  than  deprive  a  community  of  its  only  local  broad¬ 
cast  station,  and  because  previously  offending  licensees  are  now 
acting  in  good  faith,  the  Federal  Communications  Commission  has 
rescinded  an  order  of  revocation  in  the  case  of  Station  KAND, 
operated  by  the  Navarro  Broadcasting  Association,  Corsicana,  Texas, 
Commissioner  George  Henry  Payne  issued  a  dissenting  opinion. 

The  revocation  order  was  issued  last  February,  at  which 
time  it  was  disclosed  that  the  station  misrepresented  their  inten¬ 
tions  as  to  the  financing,  construction,  control  and  ope  ration  of 
the  station  in  securing  their  original  construction  permit  and 
station  license.  In  addition,  it  was  found  that  they  transferred 
the  rights  granted  them  to  James  G.  Ulmer  and  Roy  G.  Terry  without 
Commission  consent.  "These  facts  taken  alone  would  support  an 
affirmation  of  the  Commission’s  Order  of  Revocation",  observes  the 
Commission  in  its  Decision  and  Order.  However,  balancing  factors 
in  the  record  lead  the  Commission  to  be  lenient. 

"I  disagree  with  the  action  taken  by  the  Commission  in 
dismissing  the  revocation  order  in  the  Navarro  Broadcasting 
Association  case  issued  on  February  7,  1940",  Commissioner  Payne 
said  in  dissenting.  "in  my  opinion  the  charges  made  by  the  Com¬ 
mission  in  this  order  are  fully  established  by  the  record  of  the 
hearing  at  which  I  presided.  Nothing  has  happened  since  the  hear¬ 
ing  to  change  my  mind. 

"This  case  is  not  so  dissimilar  from  the  Eagle  Broadcast¬ 
ing  Company,  Inc.,  case,  Station  KGFI,  Brownsville,  Texas,  in  which 
the  Commission  affirmed  the  revocation  order,  as  to  justify  con¬ 
trary  action. 

"If  J.  C.  West  and  Frederick  Slauson  were  animated  by 
good  faith  they  would  have  filed  voluntarily  the  contract  of 
September  14,  1937,  between  themselves  and  Ulmer,  covering  the 
operation  of  Station  KAND.  This  they  failed  to  do.  With  the  dis¬ 
missal  of  the  revocation  order  these  people  who,  in  my  opinion, 
have  been  guilty  of  many  infringements  of  the  Act  and  regulations, 
go  scotfree. 


"The  decision  of  the  Commission  in  the  Westinghouse  case 
this  week,  from  which  I  also  dissented  and  which  has  been  followed 
in  the  present  case,  is  in  my  opinion  a  very  bad  precedent  and  may 
give  the  Commission  a  great  deal  of  perturbation  in  the  future. " 

X  X  X  X  X  X  X  X 

St.  Louis  University  at  St.  Louis,  Missouri,  has  applied 
to  the  Federal  Communications  Commission  for  a  construction  permit 
for  a  new  high  frequency  broadcast  station  to  be  operated  on  44300 
kilocycles,  coverage  13500  square  miles,  population  1,682,500. 


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TINUED  TELEVISION  INTEREST  OF  FCO  CHAIRMAN  INDICATED 


That  Chairman  James  L.  Fly  is  still  giving  particular 
thought  to  television  development  was  indicated  by  the  fact  that 
this  subject  again  dominated  his  weekly  informal  press  conference. 
Chairman  Fly  said  that  the  National  Television  Systems  Committee 
will  view  a  color  television  demonstration  when  they  meet  in  New 
York  City  Tuesday,  September  17.  The  Commission  was  invited  to 
attend  this  meeting  but  will  not  be  able  to  do  so  because  the 
date  happens  to  fall  on  a  regular  meeting  day  of  the  FCC.  However, 
Commander  E.  K.  Jett,  Chief  Engineer  of  the  Commission,  and  Com¬ 
missioner  George  Henry  Payne,  the  latter  happening  to  be  in  New 
York  at  that  time,  may  go. 

Chairman  Fly  said  he  didn't  think  the  Commission  as  a 
whole  should  make  another  trip  to  see  television  just  now  but  does 
think  that  later  some  members,  or  all,  should  see  subsequent  techni¬ 
cal  developments.  Replying  to  an  inquiry  as  to  what  sort  of 
developments  these  might  be,  the  Chairman  said  that  he  wasn't 
exactly  sure  but  he  thought  they  would  involve  RCA  experimentation 
with  more  lines,  Dumont  developments  of  retentive  tubes,  and  pos¬ 
sible  developments  at  Phi'lco  and  General  Electric.  Mr.  Grly  said 
he  hadn't  talked  over  with  the  other  Commissioners  such  a  proposal 
but  might  want  to  make  an  inspection  trip  during  the  month. 

Asked  if  there  had  been  any  reaction  to  his  suggestion 
about  the  motion  picture  people  coordinating  with  the  television 
industry  in  the  latter's  programs,  the  Chairman  said  he  had  dis¬ 
cussed  the  subject  with  one  or  two  motion  picture  people  out  West 
and  they  seemed  interested.  When  asked  why  no  television  applica¬ 
tions  had  been  received  from  the  moving  picture  people,  the  Chair¬ 
man  ascribed  the  chief  reason  as  being  the  same  as  with  a  lot  of 
others  -  no  commercial  television  operation  as  yet.  What  he  wanted 
was  for  all  people  interested  to  move  in  and  help  develop  televi¬ 
sion. 


Someone  wanted  to  know  if  the  advent  of  color  would  make 
any  difference  in  the  television  standards  which  might  be  adopted 
and  would  it  mean  that  black  and  white  would  not  now  be  countenanced 
The  Chairman  asserted  that  the  question  had  not  come  down  to  that 
and  he  would  be  surprised  if  there  was  any  move  to  do  away  with 
black  and  white.  He  said  it  was  more  of  a  question  of  how  good 
black  and  white  could  be  made  and  how  practical  color  is.  As  to 
standards,  Mr.  Fly  declared  a.ll  seemed  pretty  well  agreed  that  the 
FCC  was  "righter  than  we  knew"  in  not  months  ago  bolting  down  the 
standards  then  offered.  He  said  the  industry  was  now  making 
practical  studies  and  going  places, 

In  answer  to  an  inquiry  about  the  added  cost  in  color, 
Chairman  Fly  replied  that  he  had  understood  Dr.  Goldmark's  (of  CBS' 
statements  as  indicating  10  or  15$  difference  on  a  $300  set,  per¬ 
haps  only  10$.  Mr.  Fly  wanred  those  attending  the  conference  that 
he  doesn't  know  how  feasible  color  television  is  and  doesn't  pre¬ 
tend  to  say  when  and  if  it  can  be  used.  He  just  didn't  know  but 
said  what  he  had  seen  aroused  his  interest  and  enthusiasm. 

X  X  X  X  X  X  X  X 
-  7  - 


Ol  o  -  :  i  k  b  03  ^  Q  &  -  *  O  -  wJ 


9/10/40 


PUBLIC  INTEREST  ONLY  FCC  PROGRAM  STRIKE  CONCERN 


Until  the  public  interest  is  jeopardized,  the  Federal 
Communications  Commission  will  take  no  hand  in  the  controversy 
and  threatened  strike  of  performers,  singers  and  announcers  appear¬ 
ing  on  sustaining  programs.  Even  then  the  FCC,  which  has  no  power 
of  censorship  and  does  not  concern  itself  with  programs,  would 
probably  move  with  considerable  caution  to  keep  from  becoming 
involved  in  a  labor  dispute. 

XXXXXXXXXX 


"GAIT"  TAYLOR  DIES 


Following  an  illness  of  several  months,  F.  Gaither  "Gait" 
Taylor,  38  years  old,  former  advertising  manager  of  Broadcasting 
Magazine ,  died  at  1:30  o’clock  Thursday  morning  last  at  the  Glen¬ 
dale  Sanitarium  in  Glendale,  Md. 

Mr.  Taylor,  bom  in  Terre  Haute,  Ind.  ,  and  a  graduate 
of  Wiley  High  School,  formerly  had  been  a  member  of  the  advertis¬ 
ing  staff  of  the  Terre  Haute  Tribune  for  nearly  ten  years. 

After  leaving  there,  he  joined  the  advertising  staff  of 
Station  WMT  in  Waterloo,  Iowa,  and  then  served  as  Advertising 
Manager  of  Broadcasting.  During  the  last  two  years,  he  had  been 
Manager  of  the  Radio  Division  of  the  Advertising  Department  for 
Variety  Magazine,  with  headquarters  in  Washington,  D.  C. 

Surviving  are  the  widow,  Diana;  one  daughter,  Diane;  three, 
sisters,  Mrs.  J.  H.  Cusick  and  Mrs.  J.  Donald  Caldwell,  both  of 
Terre  Haute,  and  Mrs.  Thomas  Crodian  of  Crawfordsville ,  Ind;  two 
brothers,  Joseph  of  Miami,  Fla.  ,  and  Myron  of  Sarasota,  Fla.  ,  and 
the  parents,  Mr.  and  Mrs.  A.  R.  Taylor,  also  of  Sarasota. 

The  burial  was  in  Roselawn  Cemetery  at  Mr.  Taylor’s  old 
home  in  Terre  Haute  last  Saturday. 

XXXXXXXXXX 


The  Federal  Communications  Commission  granted  the  appli- 
cation  of  Worcester  Broadcasting  Com.  ,  for  a  new  station  at  San 
Diego,  Calif. ,  to  operate  on  the  frequency  1420  kilocycles  with 
power  of  250  watts,  unlimited  time. 

XXXXXXXXXX 


8 


. 


9/10/40 


FCC  EXTENDS  CHAIN  BROADCASTING  BRIEFS  TIME 


To  meet  the  request  of  the  major  networks  for  more  time 
in  which  to  file  briefs  in  connection  with  the  Federal  Communica¬ 
tions  Commission  committee  report  on  chain  broadcasting,  the 
Commission  has  announced  that  the  time  originally  set  for  receiv¬ 
ing  such  briefs  (September  15)  will  be  extended  until  October  25. 

This  was  upon  consideration  of  the  requests  of  the 
National  Broadcasting  Company  and  the  Columbia  Broadcasting  System, 
which  asked  that  the  time  be  extended  to  December  15  and  December  1 
respectively,  and  the  Independent  Radio  Network  Affiliates,  which 
also  asked  for  more  time.  These  networks  stated  that  the  committee 
report,  submitted  to  the  Commission  on  June  12,  is  so  voluminous 
that  considerable  study  of  its  1300  pages  and  of  the  record  itself 
is  necessary  before  briefs  can  be  compiled  to  properly  cover  the 
subject  a.nd  adequately  represent  their  views. 

XXXXXXXXXX 


RUMANIANS  HEAR  MINISTER*  S  FATE  OVER  RADIO 


Sudden  changes  in  the  government  of  distant  Rumania, 
sending  King  Carol  II  and  his  red-haired  friend,  Magda  Lupescu,  to 
Switzerland  in  hasty  exit,  had  their  repercussions  in  Washington 
yesterday  (Sept.  9). 

Attaches  of  the  Rumanian  Legation  were  listening  with 
interest  Monday  night  to  a  news  broadcast  from  Bucharest.  The 
Columbia  Broadcasting  System  reporter,  Spencer  Williams,  was  des¬ 
cribing  changes  that  have  taken  place  in  the  three  days  since 
iron-willed  Gen.  Ion  Antonescue  secured  power  in  Rumania,  installing 
Prince  Mihai  as  nominal  ruler. 

Suddenly  the  group  around  the  radio  heard  words  that  threw 
them  into  consternation.  The  radio  reporter  told  his  listeners 
that  Radu  Irimescu,  Rumanian  Minister  to  Washington,  had  been  re¬ 
called,  together  with  the  Envoys  to  a  half  a  dozen  other  capitals 
in  a  general  shakeup  of  the  diplomatic  corps. 

A  Washington  Post  reporter  arriving  at  the  Legation  a 
few  minutes  later  found  the  staff  nervous,  worried  and  inclined  to 
caution.  A  secretary,  who  was  so  moved  by  the  news  he  had  heard 
that  he  asked  that  his  name  be  withheld,  said  that  no  official 
confirmation  had  been  received. 

Radu  Irimescu,  a  Legation  Attache  said,  was  in  the 
country  for  the  day  and  could  not  be  reached.  The  Military  Attache, 
Col.  Dumitru  Petrescu,  who  is  an  honorary  aide  de  camp  to  Carol, 
bad  no  confirmation  of  the  news  broadcast.  Mr.  Iremescu,  strong- 
jawed  and  forceful  in  manner,  has  represented  Rumania  in  this 
country  since  April  1938. 

XXXXXXXX 
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9/10/40 


TRADE  NOTES 


E.  K.  Cohan,  Director  of  Engineering  of  the  Columbia 
Broadcasting  System,  tells  about  the  new  50,000-watt  transmitter 
being  constructed  for  WABC,  CBS's  key  station  in  New  York  City, 
when  he  is  guest  speaker  on  "Adventures  in  Science",  Thursday, 
Sept.  12  (CBS,  not"  WABC,  3:00  P.M. ,  EST) . 


The  Navy  approved  plans  this  week  for  seven  schools 
in  six  naval  district  to  train  4000  radiomen  and  signalmen  in 
the  U.  S.  Naval  Reserve.  Applicants,  from  17  to  35  years  old, 
will  enlist  in  the  reserve  on  an  active  duty  statuswith  pay  while 
undergoing  four  months  of  training. 


Station  WG-N  at  Chicago  has  applied  for  a  modification  of 
construction  permit  for  a  new  relay  broadcast  station,  to  change 
frequencies  to  156750,  158400,  159300,  161100  kilocycles  in 
accordance  with  new  Group  I  frequencies,  and  to  extend  commence¬ 
ment  and  completion  dates  from  6/27/40  and  12/27/40  to  10  days 
after  grant  and  60  days  thereafter. 


Jennings  Pierce,  who  has  directed  agricultural  and  edu¬ 
cational  programs  for  the  Western  Division  of  the  National  Broad¬ 
casting  Company  since  they  originated  nine  years  ago,  received  an 
Honorary  State  Farmer  award  at  the  California  State  Fair  in 
Sacramento  Friday  of  last  week. 


A  license  has  been  applied  for  by  Station  WRNL,  Richmond 
Radio  Corporation,  Richmond,  Va.,  to  cover  construction  permit  for 
new  transmitter,  installation  of  directional  antenna  for  day  and 
night  use,  increase  in  power,  and  change  in  hours  of  operation 
(880  kc.);  also  authority  to  determine  operating  power  by  direct 
measurement  of  antenna  power  (880  kc.  ) . 


George  R.  Clapp,  formerly  Program  Director  of  WENY, 
Elmira,  N.Y.,  has  joined  the  Mutual  network's  program  staff. 


The  Federal  Communications  Commission  has  suspended  the 
amateur  radio  operator  license  of  Louis  Raymond  Choiniere,  Holyoke 
Mass.,  for  a  period  of  three  months,  for  "deceptive  tactics"  in 
broadcasting  music  and  singing  in  "deliberate  violation"  of  cer¬ 
tain  rules  governing  amateur  stations. 

XXXXXXXXXXXX 


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9/10/40 


CUTLER  NEW  NBC  DIRECTOR;  EGNER  V-P 


Bertram  Cutler,  a  Director  of  the  Radio  Corporation  last 
Friday  was  elected  a  member  of  the  Board  of  Directors  of  the  Na¬ 
tional  Broadcasting  Company.  Mr.  Cutler,  in  addition  to  membership 
on  the  Board  of  the  New  York  Central  Railroad,  participates  in  the 
direction  of  four  other  railroad  companies.  He  also  is  a  Director 
of  the  Equitable  Life  Assurance  Society  of  New  York,  the  Merchants 
Fire  Assurance  Corporation,  and  the  Chase  National  Bank. 

C.  Lloyd  Egner  was  elected  a  Vice-President  of  the  NBC 
at  its  regular  monthly  meeting.  Mr.  Egner1 s  elevation  to  the  vice¬ 
presidency  marks  the  growing  importance  of  the  NBC  Radio- Re  cording 
Division,  which  he  has  headed  since  its  establishment  in  1934. 

Mr.  Egner  was  Manager  of  Record  and  Recording  Sales  for 
the  RCA  Manufacturing  Company  in  Camden  before  joining  NBC.  He  has 
made  NBC’s  Radio  Recording  Division  one  of  the  world’s  largest 
transcription  services.  Under  Mr.  Egner’ s  management  the  trans¬ 
cription  service  has  grown  until  today  the  Radio-Recording  Divi¬ 
sion’s  Thesaurus,  a  library  service  of  recorded  music,  is  used  by 
more  than  225  stations  in  the  United  States,  Canada  and  countries 
throughout  the  world. 

Besides  the  Thesaurus,  the  Radio- Recording  Division  makes 
recordings  of  programs  for  national  advertisers  for  spot  and  local 
sales  campaigns.  The  division  has  a  complete  staff  of  writers, 
directors  and  production  men  capable  of  producing  any  type  of 
transcription. 


Last  year  the  Ra.dio-Recording  Division  introduced  a  new 
system  of  recording  and  reproducing  transcriptions,  known  as  the 
Orthacoustic.  This  system,  is  said  to  incorporate  new  and  higher 
standards  of  sound  recording  from  the  microphone  to  the  turntable. 


xxxxxxxxx 

CORNELL  LINKS  WITH  COLUMBIA 


After  more  than  twenty  years  of  experience  with  operating 
an  educational  broadcasting  station,  Cornell  University  will  expand 
this  medium  October  1.  Its  station,  WHCU,  recently  named  the  prin¬ 
cipal  Eastern  university  representative  of  the  Columbia  Broadcast¬ 
ing  System,  will  also  originate  for  the  network  programs  of  inform¬ 
ation  and  entertainment  in  which  students  and  faculty  will  partici¬ 
pate. 

Operating  during  daytime  hours,  the  campus  studio  will 
he  augmented  by  another  in  downtown  Ithaca,  completed  at  a  cost  of 
about  $25,000. 

The  Cornell  Radio  Guild  of  more  than  300  students  will 
play  a  large  part  in  the  new  program  after  preparation  in  basic 
courses  in  radio  technique.  Students  in  the  communications  depart, 
ment  of  the  School  of  Electrical  Engineering  will  fill  most  of  the 
positions  in  the  technical  operation  of  the  station  as  assistants 
to  the  regular  engineering  staff. 

XXXXXXXX 


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9/10/40 


NEW  FACSIMILE  PATENTS  FOR  FINCH 


William  G.  H.  Finch,  President  of  Finch  Telecommunica¬ 
tions,  Inc.,  Passaic,  N.J.,  manufacturers  of  facsimile  equipment, 
was  awarded  by  the  U.  S.  Patent  office  four  additional  patents  on 
facsimile  apparatus  designed  to  increase  the  speed,  efficiency  and 
clarity  of  the  process. 

The  granting  of  a  multi-stylus  or  triple  pen  facsimile 
recorder  patent  doubles  the  speed  of  the  process,  Mr.  Finch  said. 

It  is  now  possible  to  receive  22  square  inches  or  300  six-point- 
type  words  per  minute.  This  is  about  five  times  the  speed  of  a 
leased  teletype,  it  was  stated.  Pictures,  Maps  and  signed  docu¬ 
ments  may  be  transmitted  at  the  same  high  speed.  The  triple  pen 
recorder  when  used  through  the  application  of  frequency  modulation, 
is  capable  of  receiving  the  equivalent  of  eight  tabloid  newspaper 
pages  an  hour,  simultaneously  with  sound  programs. 

The  second  and  third  patents  issued  to  Mr.  Finch  cover 
the  phase  of  radio  facsimile  synchronizing  between  the  transmitter 
and  receiver. 


The  fourth  patent  covers  Mr.  Finch’ s  system  of  limiting 
the  surges  and  recording  signal  level,  thereby  insuring  high  qual¬ 
ity  facsimile  reproductions. 


Mr.  Finch  also  announced  that  the  British  government 
this  week  took  over  in  its  entirety  the  French  contract  for  Finch 
equipment. 


xxxxxxxxxxx 


WOR  EXECUTIVES  TO  GIVE  COLLEGE  LECTURES 


Julius  F.  Seebach,  Jr. ,  WOR  Vice-President  in  Charge  of 
Program  Operations,  and  Charles  W.  Godwin,  WOR  Production  Director, 
are  among  the  guest  lecturers  to  be  heard  during  the  Radio  Survey 
and  Station  Practice  Course  to  be  held  at  City  College  in  New  York 
this  Fall.  The  course  is  conducted  by  Seymour  N.  Siegel,  Program 
Director  of  Municipal  Station  WNYC,  and  Dorothy  N.  Davids,  former 
radio  consultant  to  New  York  University. 

During  the  semester,  the  City  College  radio  students 
will  also  be  taken  on  special  guided  tours  of  WOR's  New  York 
studios. 

xxxxxxxxxx 


12 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


r  mm  MJCMP  SV*.  ■' 

LEtsAL  DlaaRTMENT 

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INDEX  TO  ISSUE  OF  SEPTEMBER  13,  1940 


777  Of  862  Stations  Affected  In  North  American  Shakeup . 2 

FCC  Moves  Down  To  Memphis.  . . . . 5 

Baltimore  Station  Up  To  50  KW . 5 

Roosevelt  Brothers  On  Opposite  Sides  Of  Musical  Fence . 6 

Facsimile  Stations  Number  Sixteen . 7 

Omaha-Denver  Cables  Provide  More  Network  Facilities . ,...8 — 

New  Westinghouse  Radio  Manufacturing  Head . 8 

Radiosonde  Service  Expanded . ,9 

Nazi  Hatred  For  Roosevelt  Told  By  Commentator . 9 

Trade  Notes . 11 

New  FM  Applications  Increase  Steadily . 12 

FCC  Attorneys  Approved . 12 


No.  1265 


777  OF  862  STATIONS  AFFECTED  IN  NORTH  AFRICAN  SHAKEUP 


In  conformity  with  provisions  of  the  North  American 
Regional  Broadcasting  Agreement,  the  Federal  Communications  Commis¬ 
sion  has  filed  with  the  State  Department  its  proposed  reallocation 
of  frequencies  in  the  standard  broadcast  band,  to  go  into  effect 
simultaneously  with  the  pact  March  29,  1941.  The  signatory  govern¬ 
ments  are  exchanging  their  respective  tentative  assignments  for 
final  check  before  making  them  operative. 

Changes  necessitated  by  the  Havana  agreement  will  affect 
777  of  the  862  radio  stations  now  operating  in  the  standard  broad¬ 
cast  band  (550  to  1600  kilocycles)  in  the  United  States.  In  shift¬ 
ing  the  United  States  frequencies  the  Commission  plans  but  minimum 
alteration  in  the  present  broadcast  service. 

Here,  in  general,  is  how  the  domestic  shift  will  be 
accomplished: 

Stations  now  operating  on  channels  of  from  550  to  720  kilo¬ 
cycles  will  retain  their  present  assignments. 

Stations  operating  between  740  and  780  kilocycles  will  move 
up  10  kilocycles  (which  is  the  engineering  equivalent  to 
one  channel). 

Stations  using  from  790  to  870  kilocycles  will  move  up 
20  kilocycles  (two  channels). 

Stations  between  880  and  1450  kilocycles  will  generally 
advance  30  kilocycles  (three  channels). 

Clear  channel  stations  will  shift  from  1460-1490  kilo¬ 
cycles  to  1500-1530  kilocycles. 

Local  stations  now  on  1500  kilocycles  will  move  down  one 
channel  -  to  1490  kilocycles. 

The  chief  noticeable  difference  to  the  average  listener 
will  be  that  his  favorite  station  above  730  kilocycles  will  occupy 
a  slightly  different  place  on  his  receiver  dial  -  usually  higher. 
Receivers  with  push-button  tuning  will  have  to  have  these  controls 
readjusted  for  all  stations  higher  on  the  dial  than  WLW  or  WON. 

This  can  be  done  at  any  time  after  March  29th  next.  It  will  take 
only  a  few  minutes  to  make  the  necessary  readjustments.  Otherwise, 
the  general  tuning-in  process  will  be  no  different  than  at  present. 
The  extent  of  the  broadcast  band  remains  the  same  and  station  ser¬ 
vice  is  unchanged. 


3 


9/13/40 


However,  the  correlated  shifting  of  the  frequencies  of 
some  100  broadcast  stations  in  Canada,  and  of  numerous  stations 
in  Mexico  and  Cuba  will  serve  to  eliminate  in  considerable  measure 
the  long-complained  of  interference  from  these  sources,  and  thereby 
improve  broadcast  reception  in  the  North  American  continent  gen¬ 
erally.  Interference  from  Mexican  and  Cuban  stations  has  been 
particularly  objectionable  to  the  rural  listeners. 

For  one  thing,  certain  obnoxious  broadcast  stations  on 
the  Mexican  border  are  to  be  eliminated.  These  stations  are 
largely  run  by  persons  denied  the  use  of  frequencies  in  the  United 
States.  They  have  featured  the  types  of  programs  which  caused  them 
to  be  eliminated  from  the  United  States  scene.  The  Havana  pact 
contains  no  orovision  for  the  continued  operation  of  these  high- 
powered  stations  just  across  the  border. 

The  United  States  broadcaster,  on  his  part,  does  not 
have  to  replace  present  transmission  and  other  expensive  equipment. 
His  chief  concern  will  be  to  change  the  quartz  crystals  which  con¬ 
trol  a  station's  operating  frequency.  Though  this  is  a  small  item, 
it  will  take  some  time  to  obtain  the  2000  or  more  needed  crystals 
from  the  comparatively  few  manufacturers  who  grind  and  calibrate 
them  to  order. 

In  carrying  out  the  agreement,  the  Commission  has  made 
every  effort  "to  preserve  the  broadcast  structure  in  the  United 
States  so  that  minimum  interference  in  frequency  assignments  would 
be  required.  "  Of  course,  blanket  shifts  were  not  possible  in  every 
instance,  and  certain  stations  had  to  be  considered  individually  in 
their  relation  to  the  new  set-up  as  a  whole.  When  a  considerable 
change  in  frequency  was  found  imperative,  the  Commission's  engi¬ 
neers  have  striven  to  provide  a  new  assignment  with  less  potential 
interference  than  exists  on  the  present  frequency,  or  the  licensee 
is  afforded  opportunity  to  increase  his  power  to  maintain  sub¬ 
stantially  his  present  service  area.  In  making  such  general  re¬ 
allocations,  however,  it  is  necessary  for  the  Commission  to  amend 
its  rules  governing  standard  broadcast  stations  in  some  technical 
particulars. 

By  far  the  large st portion  of  the  777  stations  which  have 
to  shift  will  be  those  stations  which  will  move  up  30  kilocycles. 

A  breakdown  of  the  effect  of  the  change  on  the  862  standard  broad¬ 
cast  stations  follows: 


Change  Nurabe r  o f 

Stations  Affected 

No  change  85 

Move  up  10  kilocycles .  20 

Move  up  20  kilocycles .  26 

Move  up  30  kilocycles .  614 

Move  up  40  Ailocycies .  25 

Move  down  10  kilocycles .  64 

Irregular  shifts  .  28 


3 


9/13/40 


Any  broadcaster  has  until  October  15th  to  register  his 
views  if  he  takes  exception  to  his  individual  assignment. 

The  practical  effect  of  the  agreement  is  to  establish 
principles  paralleling  the  allocation  and  engineering  standards 
put  into  effect  by  the  Commission  in  1939.  In  fact,  the  existing 
plan  was  drafted  to  meet  the  changes  proposed  in  the  then  impending 
agreement.  In  preparation  for  reallocation,  the  Commission  set 
all  outstanding  standard  broadcast  authorizations  to  expire 
October  1.  This  date  is  now  extended  to  be  coincident  with  the 
effective  date  of  the  Havana  pact  -  March  29th  next. 

The  treaty  itself  does  not  specify  the  changes  which 
must  be  made  in  the  operating  frequencies  of  broadcast  stations 
in  the  United  States.  Nor  does  it  designate  the  operating  assign¬ 
ment  of  individual  stations.  However,  the  assignment  of  certain 
classes  of  stations  in  Canada,  Cuba,  and  Mexico  very  nearly  con¬ 
trols  the  assignments  in  the  United  States. 

It  was  particularly  necessary  to  provide  five  clear 
channels  for  Mexico  which,  prior  to  the  agreement,  had  no  fre¬ 
quencies  reserved  for  high  power  stations  in  the  standard  broad¬ 
cast  band.  So,  some  changes  in  the  allocation  structure  previously 
set  up  by  the  Commission  was  necessary. 

Two  clear  channels  were  obtained  by  taking  United  States 
stations  on  the  present  1010  kilocycle  regional  channel  and  the 
present  1180  kilocycle  clear  channel  and  reassigning  these  sta¬ 
tions  to  different  frequencies.  Three  additional  channels  were 
secured  by  shifting  the  frequencies  of  stations  commencing  with 
the  740  kilocycle  clear  channel  to  other  channels  -  10,  20  and 
30,  and  in  some  cases  40,  kilocycles  above  the  channel  now  occupied. 
In  this  manner  a  clear  channel  is  provided  at  740  kilocycles, 
another  at  800  kilocycles,  and  still  another  at  900  kilocycles. 

Thus,  five  channels  are  made  available  for  use  by  Mexican  stations. 
Canada,  provided  an  additional  clear  channel  for  Cuba. 

Under  the  reassignments,  the  United  States  still  retains 
six  local  channels.  Its  number  of  regional  channels  has  been 
reduced  from  42  to  41,  On  the  other  hand,  its  number  of  clear 
channels  has  increased  from  44  to  59,  and  it  can  use  15  additional 
clear  channels  under  certain  restrictions  set  out  in  the  treaty. 

The  compact  is  a  mutual  arrangement  to  allocate  fre¬ 
quencies  for  the  best  public  service  in  the  countries  involved  and 
typifies  the  high  spirit  of  cooperation  among  the  participating 
nations.  Under  the  arrangement,  lists  of  proposed  station  assign¬ 
ments  of  these  countries  are  exchanged  in  advance  of  the  effective 
date  of  the  agreement.  This  is  done  in  order  that  any  remaining 
technical  problems  may  be  worked  out  before  actual  operations  begin. 

Of  particular  concern  to  the  United  States  listener  is 
the  indication  that  the  domestic  assignments  as  worked  out  by  the 
Commission’s  engineers  will  mean  a  very  material  lessening  of  the 
interference  which  stations  in  this  country  now  suffer  from  broad¬ 
casts  emanating  principally  in  Mexico  and  Cuba. 


4 


9/13/40 


The  North  American  Regional  Broadcasting  Agreement  was 
reached  at  Havana  on  December  13,  1937.  It  was  ratified  by  the 
four  countries  concerned.  Formal  filing  by  the  fourth  of  these 
(mexico)  on  March  29,  1940,  confirmed  the  agreement  and  makes  it 
operative  one  year  from  that  date.  Previously  there  was  no  real 
compact  with  respect,  to  sharing  of  frequencies  by  the  principal 
countries  of  this  continent  for  the  best  mutual  advantage. 

The  Commission  stresses  that  the  agreement  should  not, 
in  any  sense,  be  interpreted  as  creating  any  vested  rights  to 
broadcasters  in  the  new  frequencies  thus  established.  That  broad¬ 
cast  channels  are  public  domain  for  use  in  the  public  interest, 
convenience  and  necessity  is  attested  by  statute  and  rule  require¬ 
ment  that  licenses  are  for  limited  terms  and  broadcasters  are  re¬ 
licensed  at  stated  intervals  only  upon  showing  of  proper  public 
service . 


The  Commission  entered  an  order  further  extending 
standard  broadcast  station  authorizations  expiring  October  1,  1940, 
for  an  additional  period  ending  March  29,  1941.  This  order,  in 
connection  with  the  North  American  reallocations,  applies  to  all 
standard  broadcasting  station  licensees  and  extends  the  expiration 
date  of  all  such  licenses  for  which  applications  for  renewal  have 
been  filed.  If  an  application  for  renewal  for  regular  operation 
covering  the  period  beyond  August  1,  1940,  has  been  filed,  it  will 
not  be  necessary  to  refile  such  application  under  the  provisions 
of  the  Commission’s  order. 

xxxxxxxxxxx 


FCC  MOVES  DOWN  TO  MEMPHIS 


A  nice  little  joy-ride  is  ahead  of  the  Federal  Communica' 
tions  when  it  holds  a  hearing  October  28th  at  Memphis,  Term. ,  to 
look  into  the  needs  of  radio- telephone  communication  on  the 
Mississippi  River  and  its  tributaries. 

The  hearing  is  pursuant  to  action  of  the  Commission  on 
May  14th  last  in  announcing  suspension  of  action  on  all  pending 
applications  involving  coastal  radio  stations  in  that  area  pend¬ 
ing  such  hearing.  The  designated  place  of  hearing  is  to  meet  the 
convenience  of  some  15  shipping  companies,  as  well  as  other  inter¬ 
ested  parties. 

XXXXXXXXXX 
BALTIMORE  STATION  UP  TO  50  KW 

The  power  of  WBAL  in  Baltimore  has  been  increased  from 
10  to  50  kilowatts  and  hereafter  will  operate  on  an  unlimited  time 
basis.  Station  WTIC  at  Hartford,  which  has  been  sharing  time  with 
Station  WBAL  on  1060  kc . ,  will  also  be  unlimited  but  will  use  the 
1040  channel. 


XXXXXXXXXX 


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.  .  • 


9/13/40 


ROOSEVELT  BROTHERS  ON  OPPOSITE  SIDES  OF  MUSICAL  FENCE 


A  newspaper  report  tells  of  Franklin  Roosevelt,  Jr. , 
having  recently  written  the  music  for  a  new  song,  the  words  of 
which  were  written  by  someone  else,  which  has  been  submitted  to 
Broadcast  Music,  Inc. 

In  a  release  to  all  broadcasters  sent  out  this  week  by 
the  American  Society  of  Composers,  the  information  is  given  out 
that  Elliott  Roosevelt  had  declared  his  faith  in  ASCAP  by  signing 
a  new  contract  to  use  their  music  effective  as  of  January  1,  1941. 

The  letter  sent  out  by  John  G.  Paine,  General  Manager  of 
ASCAP,  follows: 

"The  early  bird  catches  the  worm.*  That’s  just  as  true 
today  as  it  ever  was.  It’s  the  boys  who  are  self-starters  who 
bring  home  the  bacon. 

’’Elliott  Roosevelt,  of  the  Texas  State  Network,  and  Harry 
Maizlish,  of  KFWB,  Los  Angeles,  are  two  outstanding  go-getters  who 
are  on  the  job,  while  so  many  others  are  still  asleep  at  the  switch. 

” They  *  ve  signed  the  new  contracts  with  ASCAP  and  are  now 
lining  up  additional  sponsors.  Many  others  who  have  signed  will 
also  have  a  flying  head  start  for  the  new  year. 

MASCAP’s  responsibility  to  the  public  is  our  primary  con¬ 
sideration.  The  public  will  get  its  music  through  these  stations, 
and  the  great  number  of  non-profit  stations  to  whom  we  give  licenses 
gratis.  The  public  is  smart.  It  knows  that  it  can  dial  in  and 
dial  out  —  and  that  a  twist  of  the  wrist  will  bring  it  the  music 
it  wants. 

"New  Year's  Day  is  rapidly  approaching.  May  we  suggest 
that  it  is  not  too  soon  to  start  thinking  about  what  you  are  going 
to  use  for  music,  and  what  you  are  going  to  use  for  profits  begin¬ 
ning  January  1st?  And  we  don't  mean  promises  of  music  and  promises 
of  profits. 

"Meantime,  I’d  like  to  suggest  that  you  refer  to  my 
letter  of  June  18th,  in  which  we  announced  reductions  involving 
substantial  savings  to  most  stations,  plus  clearance  at  the  source. 

"We  will  be  pleased  to  work  out  your  contract  with  you 
and  to  give  you  every  cooperation  to  make  1941  your  banner  year. " 

XXXXXXXXXX 


6 


9/13/40 


/  j 

FACSIMILE  STATIONS  NUMBER  SIXTEEN 


According  to  a  new  listing  published  by  the  Federal 
Communications  Commission,  there  are  at  present  sixteen  facsimile 
broadcast  stations  in  the  United  States.  They  are  as  follows: 


Bamberger  Broadcasting  Service,  Inc. 
New  York,  New  York 

W2XU? 

Frequency 

25250  kc 

Power 
100  w. 

A.  H.  Belo  Corporation, 

Dallas,  Texas 

W5XG-R 

25250 

100  w. 

The  Cincinnati  Times-Star  Co. , 
Cincinnati,  Ohio 

W8XVC 

25175 

100  w. 

Courier- Journal  and 

Louisville  Times  Company, 

N. E.  of  Eastwood,  Kentucky 

W9XWT 

25250 

500  w. 

The  Crosley  Corporation, 

Cincinnati,  Ohio 

W8XUJ 

25025 

1  KW 

William  G-.  H.  Finch, 

New  York,  New  York 

W2X3F 

43740 

1  KW 

The  National  Life  and  Accident 
Insurance  Company,  Inc., 

Nashville,  Tennessee 

W4XIK 

25250 

1  KW 

The  Pulitzer  Publishing  Company, 

St.  Louis,  Missouri 

W9XZY 

25100 

100  w. 

Radio  Pictures,  Inc. , 

Long  Island  City,  New  York 

W2XR 

43580 

500  w. 

Spark s-Withington  Company, 

Jackson,  Michigan 

W8XUF 

43900 

100  w. 

Star- Times  Publishing  Company, 

St.  Louis,  Missouri 

W9XSP 

25250 

100  w. 

Symons  Broadcasting  Co. , 

Spokane,  Washington 

W7XSW 

25150 

100  w. 

United  Broadcasting  Company, 

Cleveland,  Ohio 

W8XE 

43620 

100  w. 

WBEN,  Incorporated, 

Buffalo,  New  York 

W8XA 

43700 

100  w. 

WBNS,  Incorporated, 

Columbus,  Ohio 

W8XUM 

25200 

100  w. 

WOKO,  Inc. , 

Albany,  New  York 

XXXXXXXX 

W2XWE 

X  X  X  X 

25050 

X  X 

500  w. 

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9/15/40 


0 MAH A- DENVE R  CABLES  PROVIDES  MORE  NETWORK  FACILITIES 


Another  link  to  relieve  transcontinental  telephone  con¬ 
gestion  and  radio  network  program  transmission  is  in  prospect  as 
a  result  of  the  Federal  Communications  Commission  approving  a  joint 
application  by  the  American  Telephone  and  Telegraph  "Company  and 
the  Northwestern  Bell  Telephone  "Company  for  authority  to  install 
twin  all-weather  cables  between  Omaha,  Nebr. ,  and  Denver,  Colo. , 
a  distance  of  660  miles. 


This  is  the  largest  single  project  of  its  kind  which 
has  yet  been  approved  by  the  Commission.  Its  estimated  cost  is 
$7,635,000,  of  which  amount  $4,825,000  will  be  for  outside  plant 
equipment  and  $2,783,000  for  carrier  and  associated  equipment. 


The  dual  Omaha-Denver  cables  will  be  plowed  underground 
simultaneously  except  in  metropolitan  districts  where  they  will  be 
placed  in  underground  conduit.  This  will  protect  the  system 
against  storms.  Open-wire  connections  in  this  area  are  subject  to 
ice  accumulation,  which  has  caused  19  serious  interruptions  to  the 
existing  out-door  Omaha-Denver  line  in  the  last  12  years.  The 
method  of  "plowing  inn  two  cables  at  once  has  been  but  recently 
developed  by  the  Bell  System. 

The  proposed  cable  route  would  pass  through  Cheyenne , Wyo. 
It  is  understood  that  plans  are  being  made  for  an  extension  from 
Cheyenne  to  Salt  Lake  City,  Utah,  and  later  to  the  Pacific  Coast 
to  further  reinforce  the  transcontinental  system. 


It  is  proposed  to  install  a  large  number  of  type  K  car¬ 
rier  systems  on  the  Omaha-Denver  link  as  the  need  arises.  Each  K 
system  will  provide  12  carrier  channels  on  each  two  pairs  of  con¬ 
ductors.  One  pair  in  one  of  the  cables  will  provide  transmission 
in  one  direction,  while  the  second  pair  in  the  second  cable  will 
afford  transmission  in  the  opposite  direction.  This  system  will 
operate  on  a  frequency  range  of  from  approximately  12,000  to  60,000 
cycles.  These  12  channels  may  be  employed  for  handling  that  many 
ordinary  message  telephone  circuits,  or  for  as  many  as  144  tele¬ 
graph  circuits.  In  operation  each  type  K  system  would  be  likely  to 
carry  some  telephone  and  some  telegraph  circuits.  For  radio  net¬ 
work  program  transmission,  two  or  three  adjacent  carrier  channels 
may  be  combined  to  give  a  single  high-quality  program  channel. 


XXXXXXXXX 


NEW  WESTINGHOUSE  RADIO  MANUFACTURING  HEAD 


L.  0.  Myhre  has  been  appointed  Manager  of  Manufacturing  in 
the  Radio  Division  of  the  Westinghouse  Electric  &  Manufacturing  Com¬ 
pany,  it  has  been  announced  by  Walter  Evans,  Manager  of  the  Divi¬ 
sion.  Mr.  Myhre  goes  to  Baltimore  to  assume  his  new  duties  from 
Long  Island  City,  N.Y. ,  where  he  was  Manager  of  Engineering  and 
Manufacturing  for  the  Westinghouse  X-Ray  Company. 

XXXXXXXXX 
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9/13/40 


RADIOSONDE  SERVICE  EXPANDED 


Since  the  audio-modulation  type  radio-sonde  was  origi¬ 
nally  developed  by  the  Navy  Department,  it  has  been  expanded  to 
include  35  land  and  10  shipboard  stations,  using  more  than  1,000 
radiosondes  per  month,  the  National  Bureau  of  Standards  reports. 

The  experiments  by  the  Weather  Bureau,  Navy  Department,  and  Coast 
Guard  during  1938-39  showed  the  value  of  this  method  of  radio 
sounding. 

Despite  the  wide-spread  dispersion  of  the  stations  in 
use,  only  about  4  percent  of  the  radiosondes  were  in  any  degree 
damaged  in  shipment,  and  95  percent  of  the  soundings  gave  satis¬ 
factory  records.  An  analysis  of  over  5,000  soundings  shows  that 
over  90  percent  reached  heights  of  10  kilometers  (6.21  miles)  and 
70  percent  reached  heights  of  15  kilometers  (9.32  miles).  Labora¬ 
tory  and  flight  data  on  the  performance  of  the  radiosonde  show  that 
the  pressure  measurements  are  accurate  within  5  millibars,  the 
temperature  measurements  within  0.75°  C  down  to  -50°C,  and  the  hum¬ 
idity  measurements  within  5-percent  relative  humidity  when  discount¬ 
ing  the  lag  in  response  of  the  hair  hygrometer. 

Since  the  radiosonde  was  first  used  important  improvements 
have  been  developed,  such  as  the  simplification  of  the  transmitter, 
thermal  insulation  of  the  battery,  refinement  of  the  transmitter  and 
temperature  element,  so  that  they  can  be  manufactured  to  sufficient¬ 
ly  close  tolerances  to  eliminate  the  need  for  individual  calibra¬ 
tion,  and  use  of  an  electric  hygrometer  for  measuring  relative 
humidity.  The  new  instrument  is  already  in  service  at  nine  Navy 
Department  stations  and  has  proved  to  be  superior  in  performance  to 
the  older  type. 


XXXXXXXXXX 

NAZI  HATRED  FOR  ROOSEVELT  TOLD  BY  COMMENTATOR 


At  press  and  radio  conferences  in  Berlin,  there  were  fre¬ 
quent  attacks  on  President  Roosevelt,  according  to  Warren  Irvin,  a 
radio  commentator  of  the  British  Broadcasting  Company.  Before  go¬ 
ing  to  London,  Mr.  Irvin  spent  eight  months  in  Germany  as  Berlin 
commentator  for  an  American  radio  chain. 

nIndeed,  I  question  whether  the  Nazis’  hatred  of  Mr. 
Churchill  is  more  intense  than  their  hatred  of  the  President”,  Mr. 
Irvin  writes  in  ’’London  Calling”.  "Some  of  them  even  admitted  to 
me>  at  the  time  the  ’phoney’  Polish  documents  were  handed  out  in 
Berlin  last  March,  that  the  object  was  to  embarrass  the  President 
and  try  to  defeat  him  in  the  coming  election  campaign. ” 

Mr.  Irvin  gave  this  interesting  sidelight  on  Lord 

Haw  Haw: 


9 


9/13/40 


"A  familiar  figure  at  the  Berlin  Radio  Station  was  Joyce, 
known  to  you  as  Lord  Haw-Haw  -  because,  contrary  to  the  general 
impression,  Joyce  doesn’t  speak  from  Bremen,  he  speaks  from 
Berlin.  Many  of  the  programs  announced  as  from  Hamburg,  Stuttgart 
and  other  points  come  actually  from  Berlin.  Indeed,  I’ve  often 
suspected  that  some  of  the  Nazi  ’front  programs’  you  may  have  heard, 
with  their  machine-guns,  cannon,  and  other  warlike  trappings,  are 
actually  produced  in  the  Berlin  studio.  The  Nazis  are  perfectly 
capable  of  such  tricks  and  are  past-masters  in  the  art  of  faking. 

"But  to  get  back  to  Joyce.  Though  he  is  the  real  Lord 
Haw-Haw,  as  everyone  in  Britain  is  now  aware,  he  has  understudies 
who  play  the  role  occasionally.  One  of  them  is  Edward  Dietze, 
the  son  of  a  German  father  and  English  mother.  In  the  Berlin  Radio 
Station  one  night,  just  after  the  London  papers  had  disclosed  Haw- 
Haw's  identity,  I  heard  Joyce  say  to  Dietze:  'I  think  you’d  better 
be  Lord  Haw-Haw  tonight. ’ 

"Near  the  speaking  booths  from  which  we  used  to  talk  is 
a  small  waiting  room,  a  room  which  British  tourists  in  Berlin  may 
want  to  visit  when  the  present  war  is  over.  Because  on  the  wall 
of  the  waiting  room  hang  caricatures  of  nearly  all  the  Nazi  speakers 
and  there,  among  the  rese,  is  Joyce  as  Lord  Haw-Haw. 

"For  us,  as  Americans  in  Berlin,  working  conditions  were 
anything  but  pleasant.  One  had  constantly  to  be  on  one’s  guard 
against  Nazi  trickery.  They  were  forever  trying  to  palm  off  ficti¬ 
tious  stories  on  us.  A  favorite  device  was  to  send  German  news¬ 
papermen  around  to  whisper  such  stories  to  us  'confidentially'  - 
but  we  soon  fcaught  on  to  this  trick,  and  the  Na  is  met  with  little 
success . 

"While  the  correspondents  were  not  subject  to  censorship ^ 
we  (the  radio  commentators')  were  subject  to  three.  The  Nazis  won  t 
like  my  telling  you  this.  It  is  supposed  to  be  a  deep,  dark  secret; 
because  the  Nazis  are  very  anxious  to  make  the  world  believe  that 
there  is  no  such  thing  as  censorship  of  news  coming  from  Berlin. 

"The  newspaper  correspondents  who  ’play  the  game’  are  sure 
of  being  rewarded;  but  those  who  don’t  are  almost  equally  sure  of 
being  disciplined.  If  the  story  of  a  foreign  corre spondent  offends 
the  Nazi  powers- th-be ,  he  may  find  that  when  next  a  party  is  taken 
on  a  trip  to  the  front,  there  will  be  no  room  for  him. 

"Should  this  gentle  hint  prove  insufficient,  he  may  find 
that  important  stories  are  being  handed  out  to  his  competitors  some 
two  or  three  hours  before  they  get  to  him;  and  if  this  has  no 
effect,  the  chances  are  either  that  he  will  be  expelled  from  the 
country,  or,  when  next  he  leaves  on  holiday,  be  refused  a  visa  to 
return. 

,  "With  Americans,  the  latter  method  is  favored.  The  Nazis 

don  t  like  to  expel  American  correspondents;  such  expulsions  are 
given  too  much  publicity.  Besides,  if  they  did  so  too  often,  the 
American  Government  might  conceivably  retaliate  by  ousting  Nazi 
correspondents  from  the  United  States.  And,  as  everyone  knows, 

Nazi  correspondents  generally  have  other  work  to  do  besides  gather¬ 
ing  news.  " 


a 


X  X  X  X  X  X  X  X 


9/13/40 


TRA.DE  notes 


First  under  the  wire  for  special  authority  to  broadcast 
election  returns  is  Station  WBAL,  Baltimore.  To  do  this  Station 
WBA1  asks  to  be  allowed  to  operate  simultaneously  on  the  same 
wavelength  with  Station  KTHS  at  Hot  Springs,  Ark.,  from  9  P.M., 

ESI  Tuesday,  November  5,  to  6  A.M.,  November  6. 

Station  KXOK,  St.  Louis,  Missouri,  will  join  the  National 
Broadcasting  Company  January  1,  1941,  replacing  Station  KWK,  in 
St.  Louis.  At  the  same  time  NBC  will  a.dd  its  200th  affiliate  when 
Station  KFRU,  Columbia,  Mo. ,  joins  the  Blue  Network.  - 


The  application  of  R.  B.  Eaton  of  Des  Moines  for  a  new 
television  station  has  been  designated  for  a  hearing  by  the 
Federal  Communications  Commission. 


In  a  canvass  of  1,058  newspapers  made  by  Editor  & 
Publisher,  19.10  percent  are  for  Roosevelt,  59.47  percent  for 
Willkie  and  21.43  percent  neutral.  Translated  into  circulation, 
5,332,905  are  for  Roosevelt,  16,387,145  for  Willkie  and  6.198,821 
neutral. 


D.  B.  Van  Houten,  Manager  of  the  Office  Services  Divi¬ 
sion  of  the  General  Service  Department  of  the  National  Broadcasting 
Company  has  been  named  Acting  Personnel  Manager. 

William  Gerald  Martin,  formerly  Executive  Assistant 
Manager,  has  been  appointed  Manager  of  the  Guest  Relations  Divi¬ 
sion,  succeeding  Charles  Thurman,  resigned. 


George  W.  Klingman  has  jointed  the  WOR  Engineering  Depart¬ 
ment.  In  addition  to  his  duties  handling  FM  operation  at  WOR's 
New  York  Frequency  Modulation  station,  he  will  also  serve  in  the 
newly  formed  Research  Division  of  WOR  Engineering  Department. 


R.C.A.  Communications,  Inc.,  at  Rocky  Point,  N.  Y. ,  has 
been  granted  authority  by  the  Federal  Communic? tions  Commission  to 
operate  an  experimental  station  on  the  frequency  6950  kilocycles 
with  40  kilowatt  maximum  power,  to  communicate  with  amateur  sta¬ 
tion  W1YA  at  Orono,  Maine ,  for  the  purpose  of  exchanging  informa¬ 
tion  incidental  to  receiving  tests  being  carried  out  by  the 
University  of  Maine  on  oho to  radio synchronizing  of  related  emis¬ 
sions. 


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NEW  FM  APPLICATIONS  INCREASE  STEADILY 


Filing  of  applications  continues  steadily  for  the  many 
new  FM  stations  that  hope  to  begin  operation  around  January  1,  1941, 
under  the  new  commercial  status  which  has  been  granted  to  this 
noise-free,  natural-sounding  method  of  broadcasting  by  the  Federal 
Communications  Commission,  beginning  on  that  date. 

A  total  of  36  such  applications  now  await  action  by  the 
FCC,  and  the  first  licenses  of  the  new  variety  are  expected  to  be 
issued  from  Washington  shortly. 

The  majority  of  the  applications  continue  to  be  for  high¬ 
er  powered  stations  in  the  50, 000- watt  class,  planned  to  cover 
large  areas  of  population.  Among  more  recent  ones  filed  are  the 
following: 

St.  Louis  University,  St.  Louis,  Mo.  -  44.3  megacycles 

The  A.  S.  Abell  Co.,  Baltimore  Md.  (Baltimore  Sun)  -  44.3  meg. 

National  Broadcasting  Co.,  Chicago,  Ill  -  43.3  megacycles 

WDRC,  Hertford,  Conn.  -  43.1  megacycles 

WJR,  Detroit,  'j&h.  -  43.7  megacycles 

Worcester  Telegram  Publishing  Co.,  Worcester,  Mass.  -  43.1  meg. 

General  Electric  Co.  -  Schenectady,  N.Y.  -  43.9  megacycles 

Other  representative  applications  sent  in  to  Washington 
during  recent  weeks  include: 

WHFC,  Cicero,  Ill  -  47.5  megacycles 

Echo  Park  Evangelistic  Association,  Los  Angeles,  Calif.  - 

45.5  megacycles 

American  Broadcasting  Co.,  Lexington,  Ky.  -  44.1  megacycles 

Don  Lee  Broadcasting  System,  Los  Angeles,  Calif  -  43.5  meg. 

Pulitzer  Publishing  Co.,  St.  Louis,  Mo.  -  43.5  megacycles 

Standard  Broadcasting  Co.,  Los  Angeles,  Calif.  -  45.1  meg. 

Capitol  Broadcasting  Co.,  Inc.,  Schenectady,  N.Y.  -  43.5  meg. 

Walker  &  Downing  Radio  Corp. ,  Pittsburgh,  Pa.  -  43.5  meg. 

At  least  100  more  groups  are  known  to  be  planning  FM 
activity  and,  according  to  FM  Broadcasters,  Inc.,  at  present  are 
engaged  in  completing  the  necessary  application  forms  which  must 
be  submitted  to  the  government  before  a  construction  permit  is 
approved  and  issued. 

XXXXXXXXXX 
FCC  ATTORNEYS  APPROVED 

Applications  for  the  following  attorneys  to  practice 
before  the  Federal  Communications  Commission  were  approved  by  the 
Commission:  Charles  J.  Bloch,  Macon,  Ga. ;  Kenneth  W.  Gemmill, 

New  York  City;  Fred  M.  Glass,  Washin  ton.  D.  C. ,  and  V  W.  Thomas, 
Pittsburgh,  Pa, 


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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


f  ajrnnrM  T„ 

I  LEGAL  DEPARTMENT  _  j 

|  pgiiiBwiirfii 

j  ifll  -  ,  lit* 

*  1ft  * 


INDEX  TO  ISSUE  OF  SEPTEMBER  17,  1940 


Small  Percent  Of  Continuities  Found  Questionable . 2 

FCC  Chairman  Would  Favor  Neither  Party . 3 

Calls  F.  D.  R.  "Smooth  Radio  Voice"  A  "Gold  Brick" . 4 

Dunlap  Leaves  Times  For  RCA . 5 

No  "Czar"  For  Defense  Communications  Committee . 6 

New  Capital  Station  Soon . 7 

Gliders  Get  Portable-Mobile  Station . 7 

New  U.P,  Radio  Bureau  Head . 8 

Flays  Newspapers  And  Commentators...  . . 8 

German  Radio  Sets  Increase  Despite  War..... . 8 

Navy  Communications  Policy . . . 9 

Sales  Of  Radio  Sets  Climb  Well  Above  1939  Records . 9 

AP  Signs  News  Exchange  Pact  With  NBC,  CBS . 10 

Trade  Notes . ,11 

NAB  Waxes  Sarcastic  In  "ASCAP  Victory?" . . . . . 12 

Told  Radio  News  Helps  Newspapers . . . 12 

Radio  Crime  Plays  Hit  By  International  Police . 12 


No. 


1266 


September  17,  1940. 


SMALL  PERCENT  OF  CONTINUITIES  FOUND  QUESTIONABLE 


From  the  total  of  635,843  commercial  continuities  ex¬ 
amined  by  the  Federal  Trade  Commission  during  the  past  fiscal  year 
in  script  rendered  by  individual  broadcasts,  14,274  were  marked 
and  set  aside  for  investigation,  or  only  2.2  percent. 

A  breakdown  of  the  2  aforementioned  figures  further  dis¬ 
closes  that  of  the  total  individual  station  continuities  examined, 
96,140  were  broadcast  by  89  stations  located  in  14  cities  or 
population  centers  of  over  500,000  population.  From  such  radio 
station  commercial  continuities,  2.97^  were  deemed  sufficiently 
questionable  in  the  initial  scrutiny  to  warrant  further  investiga¬ 
tion. 

The  analysis  discloses  data  concerning  the  principal 
sources  as  to  population  centers  of  origin  of  those  commercial  con¬ 
tinuities  broadcast  by  individual  radio  stations  (non-network 
broadcasts)  which  were  marked  and  set  aside  as  warranting  further 
investigation. 

The  completed  tabulation  in  table  "A"  below  shows  particu¬ 
lars  representing  each  of  6  ranges  of  population  groupings  whose 
commercial  continuities  were  included  in  the  advertising  surveys 
during  the  fiscal  year. 


TABLE  "A” 

-  COMMERCIAL 

CONTINUITIES 

(NON-NETWORK) 

ANALYZED  AS 

>  TO  ORIGIN  BY 

POPULATION  GROUPINGS 

Total 

No.  of 

Total  Cities 

Station  Location 

Continu- 

Stations 

Represent- 

as  to 

itie  s 

Renre- 

ed 

Population  Range 

Examined 

Sente d 

Over  500,000 

96,140 

89 

14 

250,000-499,999 

89,639 

72 

26 

100,000-249,999 

96,602 

84 

42 

50,000-99,999 

102,679 

103 

76 

25,000-49, 999 

91,235 

108 

100 

Under  25,000 

159,548 

241 

235 

Total 

635,843 

697 

493 

The  percentages  and  other  statistics  presented  above 
relate  only  to  the  initiation  of  inquiry  and  are  not  necessarily 
representative  of  any  final  adverse  action  taken  by  the  Commission. 

-  2  - 


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Surveys  of  radio  advertising  were  carried  on  during  the 
fiscal  year  reported  upon,  on  a  selective  and  representative 
basis  somewhat  similar  to  the  method  followed  in  scrutinizing  pub¬ 
lished  advertisements. 

In  comparing  this  station  data  with  other  radio  review 
information,  or  other  methods  of  advertising  dissemination,  con¬ 
sideration  should  be  given  to  these  facts:  Local  and  individual 
broadcasting  stations  are  often  linked  a  large  part  of  their  broad¬ 
cast  time  into  nation-wide  or  regional  networks  broadcasting  the 
same  advertising  material.  For  the  purpose  of  avoiding  unneces¬ 
sary  duplication  of  review  efforts  in  our  advertising  examinations, 
local  individual  stations  do  not  render  commercial  continuities 
for  such  network  programs,  but  only  commercial  continuities  for 
such  programs  as  may  originate  in  their  respective  station  studios. 
Thus,  the  network  advertising  broadcasts,  and  the  markings  of  those 
questioned  continuities  selected  from  network  announcements  have 
been  regularly  reported  upon  as  such  in  Commission  releases.  How¬ 
ever,  there  is  no  data  available  which  would  permit  an  apportion¬ 
ment  to  the  individual  affiliated  stations  of  those  questioned 
commercial  announcements  which  may  have  utilized  the  facilities 
of  many  individual  stations  during  the  course  of  their  network 
dissemination. 


Of  the  total  14,274  questioned  commercial  radio  continui¬ 
ties  marked  from  individual  station  broadcasts,  during  the  fiscal 
year  ending  June  30,  1940,  it  is  observed  that  20.0$  originated 
from  broadcasts  by  individual  stations  located  in  cities  of  over 
500,000  population. 


XXXXXXXXXX 


FCC  CHAIRMAN  WOULD  FAVOR  NEITHER  PARTY 


It  was  made  clear  by  Chairman  James  L.  Fly  of  the  Federal 
Communications  Commission  that  all  political  parties  should  have 
the  same  treatment  over  the  radio.  He  said  one  of  the  worst  forms 
of  public  service  would  be  for  broadcasters  to  favor  one  party  over 
another  -  Democratic  over  Republican,  or  vice  versa.  Such  a  situa¬ 
tion  he  believed  would  be  very  unfortunate.  The  Chairman  remarked 
that  this  discussion  got  him  back  to  his  favorite  thesis  of  radio 
as  an  instrument  of  democracy.  Broadcasters  should  give  balanced 
discussions  and  other  service  factual,  reporting,  but  without 
editorial  policy. 

This  came  up  in  connection  with  a  conference  the  FCC 
Chairman  had  had  recently  with  the  heads  of  the  Communist  Party  as 
to  the  Communist  broadcasting  rights  in  the  presidential  campaign. 
Mr.  Fly  explained  to  them  that  the  Commission  was  quite  unable  to 
tell  any  station  under  any  circumstances  to  take  any  particular 
speech,  although  improper  refusal  might  subsequently  come  up  later 
as  a  question  of  public  service. 


3 


9/17/40 


Mr.  Fly  said,  that  he  had  also  discussed  the  Communist 
matter  with  the  broadcasters.  The  latter  have  had  some  differences 
and  there  has  been  some  delay  in  arriving  at  a  decision  but  it  is 
expected  they  will  soon  be  in  a  position  to  inform  the  FCC  where 
they  stand.  Chairman  Fly  said  the  Commission  doesn't  want  to  take 
any  arbitrary  position.  The  Communists  contended  they  were  told 
to  take  the  matter  up  with  the  broadcasters  after  the  convention 
but  now  time  is  passing  and  the  broadcasters  have  failed  to  act. 


Questioned  if  the  law  didn't  require  every  party  to  be 
given  equal  time  on  the  radio,  the  Chairman  pointed  out  that  the 
statute  says  this  is  mandatory  only  if  a  legally  qualified  candi¬ 
date  is  accorded  time  in  the  first  place  under  which  condition 
other  legally  qualified  candidates  for  the  same  office  can  demand 
equal  time.  Asked  if  Republicans  and  Democrats  paid  for  time, 
would  the  broadcasters  be  expected  to  give  the  Communists  equal 
time  for  nothing,  the  Chairman  replied  that  "unlike"  facilities 
was  not  a  point  at  issue. 


CALLS  F.D.R. 


xxxxxxxxx 

"SMOOTH  RADIO  VOICE"  A  "GOLD  BRICK" 


Wendell  Willkie,  charged  with  being  more  or  less  of  a 
"bust"  on  the  radio,  took  quite  a  shot  in  his  Coffeyville  speech 
at  the  radio  charm  supposed  to  be  possessed  by  the  President.  Mr. 
Willkie,  discussing  the  Battle  of  Britain  said  that  with  the  burn¬ 
ing  of  London  not  only  is  the  city  in  flames  but  a  philosophy  is 
in  flames  and  a  way  of  life  is  in  peril,  and  referring  to  Mr. 
Roosevelt  added: 

"And  I  wonder  what  stands  between  us  and  that  calamity 
except  a  smooth  radio  voice  offering  us  the  gold  brick  of  safety 
without  sacrifice." 

Mr.  Willkie  calling  attention  to  the  great  power  now 
possessed  by  the  President  declared  that  the  latter  could  crack 
down  on  the  radio  stations  if  he  desired  to  do  so: 

"Mr.  Roosevelt  now  has  power,  among  other  things,  to 
close  all  of  our  banks  whenever  he  wishes;  to  change  overnight 
the  value  of  the  money  you  and  I  carry  in  our  pockets;  to  issue 
several  billion  dollars'  worth  of  paper  money  on  his  own  say-so; 
to  close  the  stock  exchanges.  If  he  declared  another  emergency  he 
could  close  all  the  broadcasting  stations.  He  has  declared  40 
emergencies  in  the  last  seven  years. " 

xxxxxxxxxx 


4 


9/17/40 


DUNLAP  LEAVES  TIMES  FOR  RCA 


After  eighteen  years  as  Radio  Editor  of  the  New  York 
Times,  starting  in  the  infancy  of  radio  and  making  the  radio 
section  of  that  paper  what  it  is  today,  Orrin  E.  Dunlap,  Jr.  last 
week  resigned  from  the  Times  to  go  with  the  Radio  Corporation  of 
America  as  head  of  the  RCA  Press  Department.  It  is  understood 
he  had  the  offer  under  consideration  since  last  June.  He  succeeds 
Horton  H.  Heath,  who  has  been  appointed  RCA  Director  of  Advertising 
and  Publicity. 

Mr.  Dunlap  is  a  "career  man"  in  radio  and  the  author  of 
seven  books,  including  the  biography,  "Marconi:  The  Man  And  His 
Wireless",  and  "The  Outlook  For  Television".  Associated  with 
wireless  since  1912,  when  he  built  an  amateur  station,  he  served 
as  chief  operator  of  the  Marconi  Wireless  Telegraph  Company 
aboard  the  S.  S.  OCTORORA  in  1917. 

During  the  World  War  he  served  as  operator  in  the  U.  S. 
Navy,  graduating  from  the  U.  S.  Naval  Radio  School  at  Harvard  as 
one  of  the  three  honor  men  in  the  class. 

Mr.  Dunlap  was  graduated  from  Colgate  University  in  1920 
after  which  he  attended  the  Harvard  Graduate  School  of  Business, 
specializing  in  advertising  and  marketing.  After  a  year  with  the 
Hanff-Metzger  Advertising  Agency,  he  joined  the  staff  of  the  New 
York  Times  as  Radio  Editor. 

Also  for  several  years  he  was  corresponding  editor  in 
charge  of  radio  for  the  Scientific  American  and  Boy *3  Life.  As  a 
pioneer  in  amateur  wireless,  Mr.  Dunlap  was  an  early  member  of  the 
American  Radio  Relay  League,  and  has  been  a  member  of  the  Veteran 
Wireless  Operators'  Association  and  the  Institute  of  Radio  Engi¬ 
neers. 


Mr.  Dunlap  has  been  a  close  student  of  television.  After 
carefully  looking  over  the  field  last  year,  the  National  Associa¬ 
tion  of  Broadcasters  selected  him  to  discuss  that  highly  contro¬ 
versial  subject  at  their  annual  meeting.  Will  H.  Hays  was  chosen 
to  speak  for  the  movies.  Next  to  David  Sarnoff,  Mr.  Dunlap,  in 
writing  the  Marconi  book,  probably  kept  more  closely  in  touch  with 
the  inventor  of  radio  than  anyone  in  the  United  States.  Mr. 

Dunlap's  life  of  Marconi  was  the  only  biography  the  great  scientist 
himself  ever  approved. 

It  has  been  said  of  Mr.  Dunlap  that  he  likewise  could 
have  made  a  great  success  as  a  financial  writer.  Another  hobby 
which  might  have  been  developed  is  his  natural  ability  as  a  cartoon¬ 
ist.  Letters  illustrated  by  his  caricatures  have  long  been  a  joy 
to  his  friends.  He  also  has  a  very  valuable  collection  of  auto¬ 
graphed  photographs  indicative  of  his  contact  with  prominent  men. 


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A  la  Wendell  Willkie  putting  Rushville,  Indiana,  on  the 
map,  Mr.  Dunlap  has  been  a  perpetual  booster  for  his  old  home  town 
of  Niagara  Falls,  N.  Y.  He  never  misses  going  there  for  his 
vacation,  where  his  father,  Mr.  Orrin  E.  Dunlap,  Sr.,  veteran 
newspaper  correspondent,  still  resides.  Niagara  was  also  the  home 
of  his  wife  who  was  formerly  Miss  Louise  M.  Leggett. 


Some  years  ago  this  writer  was  in  Chicago  attending  a 
radio  convention  with  Mr.  Dunlap.  Henrici's  Restaurant  was  sug¬ 
gested  for  dinner.  As  Dunlap,  who  had  not  been  any  too  compli¬ 
mentary  about  some  of  the  things  he  had  seen  in  Chicago,  entered 
Henrici's,  he  exclaimed:  "This  is  a  great  place!  tt  "How  do  you 
know?"  he  was  asked.  "You  haven't  eaten  here  yet. "  "How  could  I 
help  but  like  it?"  Mr.  Dunlap  exclaimed,  as  he  laughingly  pointed 
to  a  huge  oil  painting  of  Niagara  Falls,  covering  the  whole  side 
of  the  wall  behind  the  cashier's  desk. 


At  that  same  convention  in  Chicago  there  was  consider¬ 
able  indignation  among  radio  editors  and  radio  manufacturers 
because  Mr.  Dunlap  had  an  exclusive  story  in  the  New  York  Times 
describing  in  detail  the  forthcoming  year' s  development  in  radio 
sets  when  the  whole  thing  was  to  have  been  a  secret  and  not  sprung 
until  the  day  the  show  opened.  The  radio  manufacturers  declared 
they  had  guarded  their  exhibition  closely  and  were  sure  no  news¬ 
paper  correspondent  had  seen  the  new  sets.  They  couldn't  under¬ 
stand  how  the  thing  had  gotten  out.  Nevertheless  Mr.  Dunlap  had 
it  all  in  the  Times  the  morning  the  show  opened. 


When  pressed  by  this  writer  as  to  how  he  got  the  story, 
he  laughed  as  he  said:  "There  was  nothing  to  it.  All  the  public 
wanted  to  know  was  what  was  the  latest  thing  in  radio  sets.  In 
the  convention  number  of  the  radio  manufacturing  trade  papers, 
every  manufacturer  advertised  the  latest  improvements  he  would 
display  at  the  Chicago  exhibition.  All  I  had  to  do  was  to  read 
these  advertisements  and  there  was  my  story. " 


xxxxxxxxxx 


NO  "CZAR"  FOR  DEFENSE  COMMUNICATIONS  COMMITTEE 


Chairman  James  L.  Fly  of  the  Federal  Communications  Com¬ 
mission  reiterated  yesterday  that  the  proposed  Defense  Communica¬ 
tions  Committee  would  be  a  planning  agency  and  not  an  administra¬ 
tive  agency.  Asked  if  a  single  administrator  was  contemplated,  the 
Chairman  replied  that  no  single  "czar"  representing  either  the 
Government  or  industry  would  have  charge  of  this  job. 


"In  fact  such  a  step  would  be  contrary  to  our  demo¬ 
cratic  processes",  Mr.  Fly  concluded.  "The  Defense  Committee  will 
represent  both  Government  and  industry  and  will  not  be  headed  by 
any  one  'big  gun'.  Why  should  it?" 


XXXXXXXXXX 


6  - 


9/17/40 


NEW  CAPITAL  STATION  SOON 


The  approximate  date  set  for  the  opening  of  the  new 
Washington,  D.  C.  Station  WINX  is  October  15th.  There  are  now 
four  stations  in  the  Capital  -  WRC  and  WMAL  of  the  National  Broad¬ 
casting  Company,  WJSV,  of  Columbia  Broadcasting  System,  and  WOL 
of  Mutual  Broadcasting  System.  The  new  little  brother  will  begin 
with  250  watts  on  1310  kilocycles. 

Lawrence  J.  Heller,  President  of  the  new  station,  has 
announced  the  appointment  of  Reggie  Martin  as  G-eneral  Manager. 
Calling  itself  the  Washington  radio  station  for  Washingtonians, 
the  new  venture  is  already  in  its  own  building  at  Eighth  and  I 
Streets,  N.  W.  ,  in  the  heart  of  the  business  section  of  the  city, 
and  in  possession  of  a  synchronized  booster  on  the  American 
University  campus. 

Commenting  on  his  new  position  this  week,  Mr.  Martin 
said:  "WINX  will  endeavor  to  render  a  service  devoted  exclusively 

to  the  interest  of  Washingtonians.  It  is  our  desire  to  cover  in 
one  way  or  another  everything  of  importance  which  happens  in  the 
Capital’s  metropolitan  area.  We  shall  also  attempt  to  offer  a 
different  type  of  program  than  is  available  on  other  local  sta¬ 
tions.  We  intend  to  give  ample  time  to  all  civic  matters  and  to 
encourage  first  class  local  talent.  H 

Mr.  Martin  is  a  native  of  South  Bend,  Ind.  ,  where  he 
started  in  radio.  He  attended  the  University  of  Chicago  and  has 
been  associated  with  various  Midwestern  stations,  including  the 
Register  and  Tribune  stations  in  Des  Moines  and  with  the  Central 
States  System  in  Nebraska.  For  the  past  two  years  as  General 
Manager  of  Station  WJNO,  Palm  Beach,  Fla.  ,  he  is  familiar  to  sports 
fans  throughout  the  country  over  the  nation-wide  networks. 

The  new  station's  service  range  is  expected  to  be  within 
a  radius  of  20  or  25  miles. 

XXX  XXXXX  XXX 


GLIDERS  GET  PORTABLE-MOBILE  STATION 


Construction  permits  have  been  granted  to  the  Airhoppers 
Gliding  and  Soaring  Club  for  two  new  portable-mobile  flying  school 
stations.  The  first  is  to  be  used  at  any  point  where  glider  opera¬ 
tions  may  be  held  and  the  second  to  be  operated  on  various  gliders 
while  soaring  over  landing  fields  to  communicate  with  portable- 
mobile  flying  school  land  station. 

Both  stations  will  operate  on  a  frequency  of  39060  kc. , 
one  with  15  watts  power  and  the  other  with  2  watts  nower. 


XXXXXXXXX 

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9/17/40 


NEW  U.P.  RADIO  BUREAU  HEAD 


Hartzell  Spence  will  reorganize  and  develop  the  United 
Press* s  Department  of  promotional  activities.  He  will  also  con¬ 
tinue  as  Manager  of  U.P.  fs  Special  Service  Bureau  and  Manager  of 
Radio  Shows,  Inc.,  a  U.P.  subsidiary. 

The  Special  Service  Bureau  and  Radio  Shows  are  by-pro¬ 
duct  departments  of  U.P.  for  publishing  and  radio,  respectively, 
handling  special  news,  research  service  for  Newsweek,  Look  and 
other  publications  and  servicing  such  radio  commentators  as  Lowell 
Thomas,  H.  V.  Kaltenborn,  Raymond  Gram  Swing  and  others.  Mr. 

Spence  has  headed  the  Special  Service  Bureau  for  nearly  two  years 
and  Radio  Shows  since  last  year. 

xxxxxxxxxx 


FLAYS  NEWSPAPERS  AND  COMMENTATORS 


Not  mentioning  Wendell  Willkie,  Representative  Hamilton 
Fish  (R.  ),  of  New  York,  blames  newspapers  and  radio  commentators 
for  the  defeat  of  his  amendment  which  would  have  postponed  the 
draft  until  after  election. 

Mr.  Fish  contended  that  his  amendment  would  have  in¬ 
creased  the  size  of  the  Army  far  sooner  than  the  bill  as  it  now 
stands,  by  permitting  enlistment  as  a  preliminary  to  the  opera¬ 
tion  of  the  draft. 

'•The  eastern  internationalist  press",  Mr.  Fish  said, 
"deliberately  and  maliciously  headlined  my  amendment  as  an  attempt 
to  delay  the  draft  by  60  days,  and  this  slimy  and  contemptible 
perversion  of  the  truth  was  repeated  over  the  radio  by  warmongering 
commentators  such  as  H.  V.  Kaltenborn.  " 

xxxxxxxx 


GERMAN  RADIO  SETS  INCREASE  DESPITE  WAR 


The  number  of  licensed  radio  receiving  sets  in  Greater 
Germany  (inclusive  of  the  new  Eastern  Provinces  but  exclusive  of 
the  Protectorate  of  Bohemia  and  Moravia  and  of  the  occupied  areas) 
amounted  to  14,431,142  on  June  1,  1940,  the  American  Embassy  in 
Berlin  reports.  This  is  an  increase  of  103,224  over  the  preceding 
month.  This  number  includes  1,022,061  sets  which  are  exempted 
from  paying  the  license  fee  for  social  reasons. 

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9/17/40 


NAVY  COMMUNICATIONS  POLICY 


The  new  communications  policy  is  outlined  as  follows 
in  the  recent  U.  S.  Naval  Policy: 

"To  provide  and  maintain  a  naval  communication  system 
based  on  war  requirements. 

"To  operate  the  communication  facilities  as  required, 
primarily,  by  the  current  operating  force  plan  and  for  direct 
communication  with  overseas  possessions. 

"To  continue  the  use  of  naval  communication  facilities 
to  increase  safety  at  sea  and  in  the  air,  including  adequate  com¬ 
munication  with  the  United  States  Merchant  Marine  and  commercial 
aircraft  flying  overseas. 

"To  cooperate  with  American  commercial  communication 
activities  so  as  to  enhance  their  military  value  in  the  time  of 
national  emergency  and  to  safeguard  the  communication  interests  of 
the  United  States.  " 

xxxxxxxxxxxxx 


SALES  OF  RADIO  SETS  CLIMB  WELL  ABOVE  1939  RECORDS 


So  far  in  1940  the  radio  industry  has  bettered  by  a  sub¬ 
stantial  margin  the  sales  records  chalked  up  in  1939,  reports  Dun  & 
Bradstreet,  Inc. 

"Manufacturers'  unit  sales  have  run  better  than  25  percent 
above  last  year,  when  total  volume  exceeded  10,000,000  receivers. 

A  favorable  sales  stimulant  is  the  public's  intense  interest  in 
European  war  news  and  in  the  presidential  campaign.  Buying  of  the 
smaller,  inexpensive  models  has  continued  strong,  and  these  count 
heavily  in  unit  volume. 

"With  turnover  at  a  highly  satisfactory  rate,  the  indus¬ 
try's  efforts  now  are  directed  toward  translating  volume  into  net 
earnings.  Profit  margins  have  been  slimmed  in  recent  years  by  the 
increased  emphasis  given  low-priced  sets  and  by  outbreaks  of  price- 
cutting,  particularly  in  retail  channels.  In  1939,  the  average 
retail  price  of  receivers  was  only  $34,  compared  with  well  over 
$100  10  years  earlier.  Since  the  latter  part  of  1939,  the  value 
of  the  average  unit  sale  has  shown  a  slight  upward  tendency,  so 
that  currently  it  is  estimated  closer  to  $40.  It  is  not  improved 
sufficiently,  however,  to  raise  dollar  sales  volume  to  the  peak  of 
proportions  of  1937. 

"Efforts  to  increase  dollar  totals  have  resulted  in  more 
emphasis  on  the  relatively  expensive  ra.dio-phonograph  models. 


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Television  receivers  and  the  new  frequency-modulation  sets, 
although  still  of  small  volume  importance,  are  also  counted  upon 
to  add  to  the  average  unit  sale.  Meanwhile,  the  volume  market  is 
being  constantly  widened  by  improved  mechanical  and  styling 
features.  Latest  innovations  include  low-priced  record  players 
with  automatic  changers  and  candid-camera  type  portables. 

"Although  no  comprehensive  inventory  figures  are  avail¬ 
able,  reports  suggest  a  fairly  healthy  stock  condition  in  the 
industry.  Manufacturing  activity  in  1939,  as  revealed  by  employ¬ 
ment  statistics,  was  below  the  1936-7  level  despite  a  very  sub¬ 
stantial  increase  during  the  latter  part  of  the  year.  In  the  first 
half  of  1940,  emoloyment  was  above  the  same  period  of  1939  but  still 
below  1936  and  1937.  » 

XXXXXXXXXXXX 
AP  SIGNS  NEWS  EXCHANGE  PACT  WITH  NBC,  CBS 

The  Associated  Press  announced  last  week  it  had  signed 
with  the  National  Broadcasting  Company  and  Columbia  Broadcasting 
System  one-year  "exchange  agreements"  providing  for  the  exchange 
of  all  news  obtained  by  the  networks,  plus  a  cash  differential, 
for  AP  dispatches.  The  arrangement  went  into  effect  officially 
on  Tuesday,  although  it  had  operated  on  an  informal  basis  for 
several  weeks  with  NBC. 

The  size  of  the  money  payments  by  the  networks  to  AP 
will  vary,  as  news  will  be  broadcast  on  both  a  sustaining  and  com¬ 
mercial  basis.  No  news  will  be  used  on  sponsored  programs  without 
the  AP’s  approval,  under  the  terras  of  the  agreement. 

It  was  said  by  Editor  &  Publisher  that  the  AP  also  is 
negotiating  with  officials  of  the  Mutual  Broadcasting  System  for 
a  similar  agreement. 

The  move  announced  this  week  by  W.  J.  McCambridge,  Assist¬ 
ant  General  Manager  who  signed  for  the  AP,  placed  AP  in  competition 
with  the  United  Press,  International  News  Service,  and  Transradio. 
The  agreement  with  the  networks  will  come  up  for  ratification  by 
the  AP’s  Board  of  Directors  at  a  meeting  on  October  1st. 

First  accounts  to  use  AP  news  are  Musterole,  Barbasol 
and  Pa-Pi-A,  all  handled  by  Erwin,  Wasey  &  Co. ,  Inc. ,  and  Nash. 

NBC  facilities  will  be  used  by  Musterole,  Pa-Pi-A  and  Nash,  while 
Barbasol  and  Pa-Pi-A  will  use  CBS. 

All  contracts  call  for  five-minute  news  periods,  and  will 
start  shortly  except  Nash,  which  starts  Sept.  30.  NBC  is  now 
attempting  to  clear  time  on  60  stations  for  this  account,  marking 
the  first  time  the  network  has  sold  five-minute  news  periods  on  a 
coast- to-eoast  ba.sis. 

In  the  meantime,  AP  member  papers  will  continue  the  sale 
of  news  to  local  stations.  Mr.  Me  Cambridge  disclosed  Sept.  10 
that  180  contracts  had  been  obtained  on  this  basis  since  AP  news 
was  made  available  late  last  Spring.  Under  this  arrangement, 
member  papers  pay  to  AP  5$  of  their  assessment  rate  when  news  is 
sold  for  use  on  sustaining  programs,  and  25$  when  the  programs  are 
sponsored. 

0.  S.  Gramling,  Executive  Assistant  in  charge  of  AP 
membership,  said  the  NBC  and  CBS  agreements  open  up  to  AP  regularly 
all  news  gathered  by  the  networks'  foreign  staffs.  Transcrips  of 
the  radio  correspondents'  broadcasts  will  be  orovided. 

xxxxxxxx 


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TRADE  NOTES 


President  Roosevelt  has  proposed  a  radio  round  table 
further  to  publicize  the  defense  program.  Stephen  T.  Early,  White 
House  secretary,  said  yesterday.  The  same  information  proposed 
to  be  made  available  to  radio  commentators  would  be  offered  to 
newspaper  men  in  Washington,  he  said. 


KOME,  Tulsa,  Oklahoma,  becomes  affiliated  with  the 
National  Broadcasting  Company  Blue  network  September  29*- 


V”  WOP' s  position  on  the  radio  dial  will  not  be  affected  by 
the  general  reallocation  of  broadcasting  channels  which  will  take 
place  next  March  2Sth,  when  the  North  American  Regional  Broadcast¬ 
ing  Agreement  goes  into  effect.  The  frequency  assignment  of  WOR 
remains  the  same,  710  kilocycles  -  71  on  the  dial. 


The  General  Electric  Company  has  been  granted  a  license 
to  cover  construction  permit  which  authorizes  a  new  relay  televi¬ 
sion  broadcast  station  at  New  Scotland,  N.  Y.  The  frequencies 
allocated  are  156,000-162,000  kilocycles,  10  watts.  It  is  to  be 
used  in  connection  with  the  General  Electric  television  Station 
I2XD  at  Schenectady. 


It  was  said  by  radio  officials  that  $20,000  would  fall 
far  short  of  full  compensation  for  the  three  networks  in  giving 
up  thirty  minutes  of  their  best  commercial  periods  to  put  the 
President  on  the  air. 


David  C.  (Dave)  Garroway,  KDKA  special  events  announcer, 
will  leave  Sept.  15  to  join  the  National  Broadcasting  Company's 
announcing  staff  in  Chicago. 


The  DuMont  station  in  New  York,  W2XWV  will  temporarily 
operate  a  50  watt  television  transmitter  on  6000D-86000  to  conduct 
field  tests. 


P.  J.  Hennessey,  Jr. ,  counsel  for  the  National  Broadcast¬ 
ing  Company,  and  J.  A.  Chambers,  radio  engineer,  both  of  Washington, 
were  among  the  lucky  thirteen  passengers  landing  safely  in  an 
American  Airline  plane  with  only  one  motor  ooerating,  the  other 
having  caught  fire  in  midair.  Their  remarkable  experience  took 
place  at  an  emergency  landing  field  near  Louisville,  Ky. ,  last 
Friday  night.  Mr.  Hennessey  has  long  been  connected  with  NBC  and 
now  has  his  own  law  business  in  the  Capital.  Mr.  Chambers  is  of 
the  radio  engineering  firm  of  McNary  &  Chambers  and  formerly  was 
Chief  Engineer  of  the  Crosley  Radio  Corporation. 

XXXXXXXXX 


11  - 


9/17/40 


NAB  WAXES  SARCASTIC  IN  "ASCAP  VICTORY?'* 


The  following  paragraph  appears  in  the  current  issue  of 
the  National  Association  of  Broadcasters'  report: 

"Warner  Brothers  motion  picture  interests  control  the 
Remick,  Witmark  and  Harms  music  publishing  houses,  which  are 
understood  to  receive  considerably  more  than  $500,000  a  year  from 
ASCAP. 


"Warner  Brothers  motion  picture  Interests  control  Station 
KFWB  of  Los  Angeles,  which  has,  presumably,  paid  ASCAP  something  in 
the  neighborhood  of  $30,000  a  year. 

"KFWB  has  signed  the  new  ASCAP  contract. 

"A  full  page  advertisement  in  Variety  announces  the  con¬ 
summation  of  this  undoubtedly  difficult  negotiation. " 

xxxxxxxxxx 


TOLD  RADIO  NEWS  HELPS  NEWSPAPERS 


Circulation  Managers  from  New  Jersey,  Pennsylvania,  Mary¬ 
land,  Delaware,  West  Virginia  and  the  District  of  Columbia  meeting 
in  Atlantic  City  vie  re  addressed  by  Matt  Sullivan,  Circulation 
Director  for  Frank  Gannett' s  chain  of  newspapers,  who  said: 

"The  effect  of  radio  news  broadcasting  on  the  reading  of 
news  is  decidedly  favorable  to  the  newspaper.  Though  newsoapers 
no  longer  can  give  first  notice  of  major  news  events,  the  reader, 
still  seeks  newspapers  for  reliability,  accuracy  and  completeness. 
People  continue  to  look  to  newspapers  for  details  of  how  it  happen¬ 
ed,  what  everybody  concerned,  has  to  say,  and  what  it  all  means.  " 


xxxxxxxx 


RADIO  CRIME  PLAYS  HIT  BY  INTERNATIONAL  POLICE 


Police  chiefs  from  many  lands  attending  the  annual  meet¬ 
ing  in  Milwaukee  of  the  International  Association  went  on  record  as 
saying  that  the  presentation  of  crime  dramas  on  the  radio  was 
detrimental  to  the  morals  and  proper  training  of  children.  They 
adopted  a  resolution  to  supply  no  factual  information  on  crimes  to 
the  radio. 


Don  F.  Stiver,  of  Indianapolis,  Superintendent  of  the 
Indiana  State  Police,  who  headed  a  committee  studying  the  effects 
of  crime  drama,  said  that  much  of  the  information  furnished  to 
radio  programs  was  so  distorted  by  script  writers  that  the  police 
oould  not  recognize  the  story. 

X  XXXXXXXX 
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2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


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““  SEP  2  3  1941*1^ 


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INDEX  TO  ISSUE  OF  SEPTEMBER  80,  1940 


Foreign  Language  Broadcasts,  FCC  Headache . 2 

Big  Reallocation  To  Aid  Police  Radio . 3 

Record  Philippine  Registrations . 3 

WOR  To  Spend  $100,000  On  New  Television  Station . 4 

War  Forces  Irish  To  Buy  Direct . 4 

No  Objections  Yet  Registered  To  N.  A.  R.  B.  A.  Allocations . 5 

Costs  A.  T.  &  T.  $15,000  To  Tie  In  New  Mutual  Station . 5 

Dill  Gets  Gubernatorial  Nomination . 5 

FCC  Will  Decide  Difficult  Citizenship  Cases  Individually . 6 

Cincinnati  College  Puts  On  Radio  Script  Course . 6 

Goldwyn  Tells  Of  Radio's  Advantages . 7 

Progress  In  Simplification  Of  Application  Form  Reported . 7 

New  3BC  6-Hour  U.  S,  Program . .  8 

Wisconsin  University  Station  Experiments  With  Time  Signals . 9 

Worried  "Ham" . 9 

Airliner  Fire  Was  Optical  Illusion . 9 

Trade  Nbtes . 10 

New  Sound-Level  Meter  Has  Wide  Range . 11 

Plans  To  Publicize  National  Defense  Programs  Outlined . 11 


FOREIGN  LANGUAGE  BROADCASTS,  FCC  HEADACHE 


The  question  of  foreign  language  broadcasts  by  stations 
in  the  United  States  is  one  which  is  giving  the  Federal  Communica¬ 
tions  Commission  considerable  concern.  When  asked  if  it  was  true 
that  the  Department  of  Justice  had  found  that  foreign  governments 
were  contributing  to  foreign  language  station  broadcasts  in  this 
country,  it  was  said  that  this  had  not  been  brought  to  the  atten¬ 
tion  of  the  FCC.  Chairman  James  L.  Fly  declared  that  it  was  an 
untenable  thought  that  any  foreign  power  should  or  could  promote 
the  operation  of  any  U.  S.  radio  station.  He  didn’t  feel  sympathet¬ 
ic  to  anyone  taking  such  a  facility  and  devoting  it  to  any  special 
cause.  Radio,  in  his  opinion,  was  not  an  instrument  for  a  particu¬ 
lar  cause. 


Asked  if  there  was  any  way  to  make  foreign  language  sta¬ 
tions  use  English  only,  the  Chairman  replied  that  the  process  would 
be  very  simple  -  the  FCC  could  just  issue  an  order  to  that  effect. 

In  fact,  he  said  that  the  Commission  had  thought  of  it.  It  was, 
however,  not  an  easy  task.  Those  taking  the  action  would  have  to 
consider  all  sides  of  the  case.  There  would  be  a  lot  of  arguments 
in  favor  of  continued  service.  The  foreign  language  stations 
could  be  utilized  from  an  Americanization  point  of  view.  He  pointed 
out  that  many  of  these  stations  were  doing  a  real  job  of  Americani¬ 
zation  as  a  part  of  their  work  and  that  they  seemed  to  be  glad  to 
do  it.  The  Chairman  cited  the  case  of  WJBK,  of  Detroit,  issuing 
an  Americanization  pamphlet  in  Polish. 

It  was  revealed  that  the  Commission  was  checking  foreign 
language  broadcasts,  translating  script  and  making  recordings. 

Also  that  many  broadcasters  had  shown  themselves  willing  to  cooper¬ 
ate.  There  was  a  check  on  the  part  of  the  FCC  by  monitoring,  or 
listening,  to  any  foreign  language  stations  under  surveillance.  It 
was  also  brought  out  that  the  FCC  is  using  translators  and  inter¬ 
preters  but  did  not  have  as  many  as  would  be  necessary  to  do  a 
more  complete  job. 

When  it  was  reported  to  the  FCC  that  there  had  been  con¬ 
siderable  complaint  against  German  newscasts  from  certain  New  York 
foreign  language  stations,  the  reply  was  that  the  FCC  did  not  know 
about  these  particular  cases  but  it  was  admitted  that  the  Commission 
gets  quite  a  few  complaints  about  such  broadcasts  in  general. 

Asked  if  there  was  a  chance  of  foreign  language  broadcasts 
being  cut  off  the  air,  Chairman  Fly  was  non-committal.  It  was 
added  that  that  may  not  be  the  best  method  in  which  to  handle  the 
problem. 


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BIO  REALLOCATION  TO  AID  POLICE  RADIO 


Pursuant  to  agreements  made  at  the  first  Inter- American 
Radio  Conference,  held  at  Havana  in  1937,  the  Federal  Communica¬ 
tions  Commission  is  shifting  certain  police  and  amateur  frequencies, 
effective  November  1,  1940. 

Following  negotiations  between  the  Commission,  the 
amateurs  and  representatives  of  the  International  Association  of 
Chiefs  of  Police  (IACP)  and  the  Associated  Police  Communication 
Officers,  Inc.  (APCO) ,  it  was  arranged  for  the  amateurs  to  relin¬ 
quish  the  frequencies  between  1715  and  1750  kilocycles  and  to 
accept  the  frequencies  between  2000  and  2050  kilocycles  in  ex¬ 
change.  Likewise,  the  police  relinquish  the  zone  police  frequencies 
2036,  2040  and  2044  kilocycles.  In  return,  the  police  service 
receives  the  frequencies  7480,  7805,  and  7935  kilocycles  and  three 
channels  in  the  band  1715-1750  kilocycles. 

At  the  present  time,  police  radiotelegraph  stations  are 
not  assigned  any  frequencies  which  are  useful  for  long-distance 
daytime  communication.  The  assignment  of  this  7  megacycle  group 
of  frequencies  will  provide  the  country  with  three  necessary  long¬ 
distance  daytime  radiotelegraph  channels.  In  addition,  the  uday 
only"  restriction  is  being  removed  from  the  5  megacycle  channel 
frequencies  (5135,  5140,  and  5195  kilocycles)  which  will  permit 
three  long-distance  night  communication  channels. 

It  appears  that  in  a  few  particular  instances  the  pro¬ 
hibition  of  radio- telephone  relays  has  resulted  in  an  undue  hard¬ 
ship.  The  rules  are  therefore  being  changed  to  permit  the  establish¬ 
ment  of  certain  voice  communication  circuits  involving  relays-  upon 
proper  showing  of  the  need  therefor  and  upon  express  authorization 
by  the  Commission. 

Other  minor  changes  involve  the  requirement  that  a  60-day 
notice  be  given  the  Commission  prior  to  the  termination  of  all 
inter-municipal  agreements,  together  with  modification  of  certain 
radio  station  log  and  frequency  tolerance  requirements. 

Today  the  United  States  has  more  than  1000  police  radio 
systems  operating  approximately  6300  mobile  units. 

xxxxxxxxx 

RECORD  PHILIPPINE  REGISTRATIONS 

The  Office  of  the  American  Trade  Commissioner,  Manila, 
reports  that  net  radio  registrations  during  July  reached  a  new 
alltime  high,  indicating  this  one  line  of  business  was  not  affected 
by  the  prevailing  depression.  The  total  for  July,  the  last  month 
reported,  was  1,963,  with  a  cumulative  total  for  the  first  seven 
months  of  1940  showing  a  gain  of  60  percent. 

xxxxxxxx 

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WOR  TO  SPEND  $100,000  ON  NEW  TELEVISION  STATION 


The  Federal  Communications  Commission  has  affirmed  its 
June  18th  tentative  grant  of  a  construction  permit  to  Bamberger 
Broadcasting  Service,  Inc. ,  for  a  new  television  station  in  New 
York  City  to  use  Channel  No.  6  (96,000-102,000  kilocycles)  with 
1  kilowatt  aural  and  visual  power,  A3  and  A5  emission. 

Confirmation  was  made  upon  showing  that,  in  fostering 
television  development,  the  applicant  will  test  vertical  and 
horizontal  antenna  systems,  experiment  with  FM  (frequency  modula¬ 
tion)  sound  carrier,  and  make  comparisons  of  pictures  using  from 
441  to  729  lines  and  15  to  30  frames. 

A  minimum  of  $100,000  has  been  made  available  for  this 
proposed  program  of  experimentation.  The  exact  site  of  the  sta¬ 
tion  has  not  yet  been  determined. 

XXXXXXXXX 


WAR  FORCES  IRISH  TO  BUY  DIRECT 


An  increasing  number  of  Irish  importers  are  buying  direct 
from  the  United  States  rather  than  through  British  agents  as  for¬ 
merly,  the  American  consulate  at  Dublin  advises.  War  conditions 
have  made  it  difficult  to  import  American  merchandise  into  Ireland 
by  way  of  England.  Among  the  difficulties  are  such  factors  as  lack 
of  interest  in  American  goods  on  the  pert  of  British  agents, high 
freight  rates  between  Great  Britain  and  Ireland,  inability  of 
British  agents  to  obtain  import  licenses  for  American  products,  and 
the  prevailing  uncertainty  of  merchandise  arriving  in  England  being 
permitted  to  leave  the  country. 

Since  March  of  this  year,  there  has  been  an  average  of 
nearly  one  neutral  vessel  a  week  arriving  in  Irish  ports  from  the 
United  States  which  indicates  that  there  are  actually  more  vessels 
carrying  freight  from  the  United  States  than  was  the  case  before 
the  war.  Freight  rates  and  insurance  are  high  because  of  the  war, 
but  it  costs  considerably  less  to  ship  an  article  direct  from  the 
United  States  to  Ireland  than  by  way  of  British  ports. 

Because  of  war  conditions,  United  States  remains  the  only 
country  from  which  Ireland  can  count  on  obtaining  imports.  Trade 
developed  now  would,  it  is  believed,  be  retained  to  a  large  extent 
after  hostilities  in  Europe  ceased,  especially  as  Ireland  is  des¬ 
irous  of  improving  its  American  trade  relations. 

xxxxxxxx 

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9/20/40 


NO  OBJECTIONS  YET  REGISTERED  TO  N.A.R.B.A.  ALLOCATIONS 


No  objections  have  been  registered  to  the  sweeping  Norths 
American  Regional  Broadcasting  allocations  as  yet  by  U.  S.  broad¬ 
casters,  the  Federal  Communications  Commission  reports.  Alloca¬ 
tions  will  affect  777  of  the  862  radio  stations  now  operating  in 
the  standard  broadcast  band  (550-1600  kilocycles)  in  this  country. 

It  is  to  go  into  effect  March  29,  1941. 

Chairman  Fly  credits  the  gentlemen  who  worked  out  the 
N.A.R.B.A.  plan  with  doing  a  "really  constructive  job".  Someone 
suggested  that  the  change  might  give  certain  stations  a  poorer 
frequency  than  they  had  before.  The  Chairman  replied  that  he  had 
heard  that  this  might  be  the  case  but  that  he  didn't  think  there 
would  be  specific  difficulty  on  that  score. 

One  of  those  present  at  the  interview  cited  a  shift  in 
the  frequency  of  Station  WOL  in  Washington  as  a  particular 
example,  saying  that  he  couldn't  receive  it  as  well  as  he  used  to. 
Several  others  present  immediately  pointed  out  that  the  N.A.R.B.A. 
shifts  haven't  gone  into  effect  yet  and  that  WOL  was  shifted  before 
Chairman  Fly  came  into  office.  Nevertheless,  Mr.  Fly  mentioned  that 
he  favored  anything  to  improve  WOL  service.  He  said  that  he  thought 
the  sky  wave  was  bad  on  WOL  and  that  sometimes  he  heard  three  or 
four  stations  at  that  place  on  the  dial  at  once. 

Someone  also  suggested  bettering  the  reception  of 
Station  WJSV,  in  Washington,  saying  that  he  heard  them  at  both 
ends  of  the  dial.  "They  laid  that  egg  themselves",  commented  the 
Chairman,  "and  besides  you  seem  to  need  a  new  radio. " 

xxxxxxxx 


COSTS  A.  T.  &  T.  $16,000  TO  TIE  IN  NEW  MUTUAL  STATION 


The  American  Telephone  &  Telegraph  Company  has  added 
lines  from  Salt  Lake  City  to  Provo,  Utah,  for  the  purpose  of  pro¬ 
gram  transmission  facilities  to  connect  Station  KOVO  at  Provo 
with  the  Mutual  Broadcasting  chain.  It  is  estimated  the  cost  of 
the  proposed  construction  will  be  $16,400. 


XXXXXXXX 


/ 


DILL  GETS  GUBERNATORIAL  NOMINATION 


Once  a  politician,  always  a  politician.'  Although  former 
Senator  C.  C.  Dill,  co-author  of  the  1933  Communications  Act,  swore 
that  he  was  through  with  politics,  he  was  nominated  for  Governor 
of  Washington  on  the  Democratic  ticket.  His  opponent  is  Mayor 
Clarence  D.  Martin,  of  Seattle. 


xxxxxxxxxx 

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9/20/40 


FCC  WILL  DECIDE  DIFFICULT  CITIZENSHIP  CASES  INDIVIDUALLY 


As  a  result  of  inquiries  made  by  the  American  Communica¬ 
tions  Association,  the  members  of  which  seemed  a  little  apprehensive 
of  the  ”harsh  cases”  arising  in  requiring  citizenship  proof  of 
common  carrier  employees  engaged  in  international  communication, 
Chairman  James  L.  Fly  of  the  Federal  Communications  Commission 
conferred  with  the  group  in  New  York  last  week.  The  entire  prob¬ 
lem  was  talked  over. 

Brought  up  by  the  ACA  representatives  was  a  case  where 
a  bona  fide  citizen  who  had  an  alien  wife.  Chairman  Fly  said  that 
he  thought  that  every  concerned  employee  should  be  definitely 
required  to  fill  out  the  forms  and  supply  data  and  that  particular 
cases  could  be  taken  up  later.  The  filling  out  of  forms  might 
properly  be  a  question  of  continuity  of  employment  writh  such  per¬ 
sons.  In  individual  cases  subsequent  reasonable  and  rational 
consideration  could  be  given.  It  was  said  to  be  easy  to  conjure 
up  difficulties  at  the  receiving  end  of  the  questionnaires*  but 
it  was  believed  that  these  would  disappear  when  those  having  the 
matter  in  charge  could  get  around  the  table  and  talk  them  out. 

xxxxxxxxxx 


CINCINNATI  COLLEGE  PUTS  ON  RADIO  SCRIPT  COURSE 

A  new  course  in  advanced  script  writing  for  radio  is  to 
be  inaugurated  this  Fall  in  the  evening  college  of  the  University 
of  Cincinnati. 

A  continuation  of  the  elementary  course  presented  last 
year  for  the  first  time,  the  new  class  will  be  open  only  to  those 
who  have  had  previous  training  in  radio  writing.  The  elementary 
course  in  radio  script  writing,  offered  concurrently,  is  open  to 
anyone  with  creative  writing  experience. 

The  elementary  class  in  script  writing  at  the  University 
last  year  attracted  adults  ranging  in  age  from  17  to  55  and  in¬ 
cluded  among  others  teachers,  newspaper  writers,  fashion  commenta¬ 
tors  and  an  agriculturist.  Class- written  dramatizations  describing 
the  work  of  various  agencies  of  the  Community  Chest  were  aired  over 
several  Cincinnati  stations,  including  WLW. 

The  instructor  in  both  the  elementary  and  advanced 
classes  in  scripting  will  be  Arthur  Radkey,  Assistant  Educational 
Director  of  Station  WLW.  Since  his  advent  into  radio  five  years 
ago,  Mr.  Radkey  has  written  more  than  2,000  programs,  ranging  from 
dramas  to  music  criticism. 

XXXXXXXXX 


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9/20/40 


GOLDWYN  TELLS  OF  RADIO'S  ADVANTAGES 


In  an  article  "Hollywood  Is  Sick"  decrying  the  double 
bill  feature  in  the  Saturday  Evening  Post  recently,  Samuel  Goldwyn 
threw  this  bouquet  at  what  he  apparently  believes  to  be  one  of  his 
worst  competitors: 

"Radio  has  three  tremendous  advantages  over  the  movies. 
First,  it  is  free  -  ignoring  the  original  cost  of  the  instrument 
and  the  trifling  upkeep  -  second,  it  is  convenient;  you  don't  have 
to  go  downtown  or  even  around  the  corner  for  it;  it's  right  there 
next  to  your  favorite  chair,  waiting  for  you;  third,  it  is  select¬ 
ive;  if  you  don't  like  a  program,  you  can  switch  it  off  for  a  new 
one.  If  you  don't  like  a  movie,  on  the  other  hand,  nine  times  out 
of  ten  you  sit  there  and  take  it  anyhow,  doggedly  determined  to 
get  your  money's  worth,  and  building  up  a  subconscious  resentment 
against  all  movies.  It's  just  as  if  you  had  sealed  and  stamped  a 
letter  and  then  reconsidered  what  you  had  written;  it  takes  a 
strong-minded  person  to  waste  that  good  stamp. 

"Add  to  these  advantages  the  fact  that  radio  is  branching 
into  television,  and  thereby  coming  even  c loser  to  the  province  of 
the  movies,  and  you'll  begin  to  appreciate  our  alarm  over  the  com¬ 
petition.  People  will  always  go  to  the  theater,  because  human  be¬ 
ings  are  gregarious,  but  it's  getting  to  a  point  where  we  will  have 
to  redouble  our  emphasis  on  the  one  thing  that  we  can  give  audiences 
far  better  than  radio  can.  That  is  realism.  When  I  made  'The 
Hurricane',  the  hurricane  scene  alone  took  a  solid  year  to  prepare 
and  cost  $350,000,  even  though  it  lasted  only  seven  minutes  on  the 
screen.  But  people  who  saw  it  will  remember  it  long  after  any 
hurricane  on  the  radio. 


"So  what  with  apathetic  audiences,  competition  from  the 
radio,  and  profits  cut  by  rising  costs  and  by  loss  of  the  foreign 
markets,  the  movie  industry  is  in  a  desperate  fix.  It's  got  to 
recapture  Its  domestic  public.'  And  it  knows  that  the  surest  way 
to  do  it  is  by  abolishing  the  double  bill.  " 

XXXXXXXXX 


PROGRESS  IN  SIMPLIFICATION  OF  APPLICATION  FORM  REPORTED 


Joint  conferees  representing  the  National  Association  of 
Broadcasters,  the  Independent  Broadcasters,  the  FM  group  and 
representatives  of  the  Federal  Communications  Commission  report 
progress  and  probable  agreement  on  possible  changes  in  the 
application  forms.  It  isn't  thought  that  there  will  be  any  dif¬ 
ficulty  in  working  out  something  mutually  satisfactory.  It  was 
said  at  the  Commission  that  any  provision  in  the  application  forms 
which  is  burdensome  or  embarrassing  could  be  eliminated.  The  group 
will  probably  meet  again  shortly. 

XXXXXXXX 
-  7  - 


\ 


9/20/40 


NEW  BBC  6-HOUR  U.S.  PROGRAM 


For  nearly  six  hours  every  night  the  British  short-wave 
station  will  beam  non-stop  programs  on  listeners  in  Canada  and 
the  U. S.  when,  on  September  29,  Transmissions  5  and  6  of  the 
British  Broadcasting  Corporation's  World  Service  are  merged,  to 
become  the  North  American  Transmission. 

Features  already  familiar  to  North-American  listeners 
will  continue,  but  at  different  hours,  and  a  number  of  new  items  - 
designed,  like  the  rest  of  the  Transmission,  to  meet  Canadian  and 
American  tastes  -  will  be  introduced. 


The  new  six-hour  British  program  will  begin  at  5:42  P.M., 
EST,  and  run  continuously  until  11:35  P.M. ,  EST.  Hereafter  there 
will  be  four  transmission  periods  of  the  BBC  World  Service  as 
follows : 


Pacific  Transmission 

Central  Transmission,  Part  I 
( Eastern) 

Central  Transmission,  Part  II 
(Africa) 

North  American  Transmission 


1:10  A.  M.  -5:15  A.M.  ,EST 

5:40  A. M. -11: 45  A.M. , EST 

11:55  A. M. -  5:25  P.M. , EST 
5:42  P.M. -11:35  P.M. , EST 


Extensive  changes  in  the  timing  of  news  bulletins  and  other 
fixed-point  broadcasts  are  involved. 

The  Central  Transmission  (Africa)  and  the  North  American 
Transmission  will  come  into  force  on  Sunday,  September  29,  and  the 
Pacific  and  Central  (Eastern)  Transmission  on  Sunday,  October  6. 

Mr.  F.  W.  Ogilvie,  Director- General  of  the  BBC,  will  dis 
cuss  the  new  developments  in  a  talk  in  each  of  the  four  trans¬ 
missions.  He  will  deal  with  the  North  American  Transmission  in 
the  "Britain  Speaks"  periods  at  8:30  P.M.  , EST  and  11:15  P.M. , EST 
on  September  30. 


XXXXXXXXXX 

There  are  some  270  pending  applications  for  additional 
facilities  in  the  present  standard  broadcast  band,  of  which  number 
56  are  for  construction  permits  for  new  stations. 

XXXXXXXXXX 


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9/20/40 


WISCONSIN  UNIVERSITY  STATION  EXPERIMENTS  WITH  TIME  SIGNALS 


The  two  portable  stations  of  the  University  of  Wisconsin 
are  operating  experimentally  on  3492  and  4797  kilocycles,  with 
600  watts  power,  for  the  purpose  of  transmitting  time  signals  to 
be  used  in  connection  with  the  geological  investigation  of  the 
surface  of  the  earth  and  the  physical  characteristics  of  the 
strata  below  the  surface  of  the  earth. 

XXXXXXXXX 


WORRIED  11  HAM  " 


A  New  Jersey  amateur  inquires  if  it  is  permissible  to 
(1)  listen  in  to  short  wave  transmission  from  foreign  stations, 
and  (2)  if  he  can  still  exchange  post  cards  with  "ham"  operators 
in  Europe. 


The  Federal  Communications  Commission  advises  that  though 
amateurs  in  the  United  States  are  now  prohibited  from  exchanging 
radio  communications  with  such  radio  stations  abroad,  there  is  no 
regulation  against  listening  to  foreign  broadcasts,  or  communicat¬ 
ing  with  persons  overseas  by  mail,  telephone,  telegraph  or  cable. 

xxxxxxxx 


AIRLINER  FIRE  WAS  OPTICAL  ILLUSION 


A  supposed  "fire"  which  forced  down  an  American  Airlines 
plane  near  Louisville,  Ky.  last  Friday  afternoon  was  reported  by 
Federal  investigators  to  have  been  an  optical  illusion  created  by 
the  "fire"  of  reflected  sunset  and  the  "smoke"  of  a  strip  of  gray 
tape  vibrating  in  the  propeller  slipstream. 

Passengers  on  the  plane  were  P.  J.  Hennessey,  Jr., 
counsel  for  the  National  Broadcasting  Company,  and  J.  A.  Chambers, 
radio  engineer,  also  of  Washington. 

The  "fire"  had  such  a  realistic  appearance  it  was  report¬ 
ed  to  the  pilot  by  an  official  of  the  airline  who  thought  he  had 
seen  a  wisp  of  supposed  smoke  and  flame  issuing  from  the  wing  behind 
the  left  motor.  The  motor  was  stopped  and  the  pilot  operated  a 
fire  extinguisher  before  proceeding  to  an  emergency  landing  field, 
to  which  ambulances  and  fire-fighting  equipment  had  been  summoned. 

xxxxxxxx 


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TRADE  NOTES 


Station  WRNL,  Richmond  Radio  Corporation,  Richmond,  Va. , 
has  been  granted  license  to  cover  construction  permit  to  increase 
power  from  500  watts  to  1  kilowatt  day  and  night,  unlimited  time, 
on  880  kilocycles. 


The  Federal  Communications  Commission  has  also  granted 
WCAE,  Pittsburgh,  with  a  power  increase  of  from  1  to  5  KW,  unlimited 
time  and  WXYZ's  power  has  been  boosted  from  1  to  5  KW. 


Called  by  one  of  his  friends  "a  child  of  destiny",  Powel 
Crosley,  Jr. ,  radio  magnate,  scored  another  triumph  when  the 
Cincinnati  baseball  team,  of  which  he  is  the  owner,  won  its 
second  straight  National  League  championship. 


In  his  column  "The  New  Yorker",  Leonard  Lyons  on  September 
18th  reported  that  Charles  Michelson,  Publicity  Director  for  the 
Democratic  National  Committee,  has  requested  the  breadcasting 
chains  for  free  time  in  response  to  Willkie's  campaign  speech  last 
Monday  night.  Michelson* s  protest  is  based  upon  the  fact  that 
Roosevelt’s  Labor  Day  broadcast  had  been  considered  a  political 
speech,  and  that  it  really  wasn’t. 

_  ^ 

Mr.  Lyons  further  said  that  "Wendell  Willkie  will  broad¬ 
cast  for  the  transcribed  radio  show,  ’Famous  Fathers.*  He  will  be 
interviewed  by  Howard  Lindsay,  star  and  co-author  of  'Life  With 
Father.'"  Political  or  non-political? 


A  portable  mobile  transmitter  W2XWC  of  the  Detroit  police 
is  conducting  tests  to  determine  the  relative  merits  of  frequency 
modulation  as  applied  to  the  Municipal  Police  Service. 


To  transmit  pick-up  visual  programs  in  Chicago  to  the 
main  station  for  broadcasting,  Balaban  and  Katz  Corporation  will 
use  a  new  television  relay  broadcast  portable  transmitter  using 
the  frequencies  of  204,000-216,000  kilocycles  and  250  watts 
visual  power. 


The  South  Porto  Rico  Sugar  Co. ,  Ensenada,  Porto  Rico,  has 
been  granted  special  temporary  authority  by  the  Federal  Communica¬ 
tions  for  point-to-point  radiotelegraph  station  in  the  fixed  public 
service  at  Ensenada,  ? . R.  to  communicate  with  radio  station  FFI 
at  Fort  de  France,  Martinique,  a  station  operated  by  the  Government 
of  Martinique. 

XXXXXXXXXX 

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9/20/40 


NEW  SOUND- LEVEL  METER  HAS  WIDE  RANGE 


A  new  portable  sound-level  meter,  lighter  and  more  compact 
than  any  previous  instrument  of  this  kind,  has  been  built  by 
Walter  Mikelson  and  others  of  the  General  Electric  general  engi¬ 
neering  laboratory.  It  weighs  only  19  pounds  but  has  a  range  of 
24  to  120  decibels  or  roughly  from  the  rustle  of  leaves  to  the 
scream  of  a  factory  whistle. 


The  new  meter  may  be  used  quickly  and  conveniently  for 
almost  any  kind  of  noise  study,  including  airplane  engine,  cabin 
and  propeller  noises;  traffic  noise;  sound  in  theaters,  audi¬ 
toriums  and  radio  studios;  and  noises  of  motors.,  fans,  generators, 
turbines,  pumps,  bearings,  gears,  cylinders  and  other  parts  of 
machinery. 

xxxxxxxxxx 


PLANS  TO  PUBLICIZE  NATIONAL  DEFENSE  PROGRAMS  OUTLINED 


Following  the  announcement  from  the  White  House  that 
President  Roosevelt  had  designated  WO R- Mutual  news  analyst  Wythe 
Williams  to  arrange  a  special  radio  series  publicizing  national 
defense,  Mr.  Williams  this  week  briefly  outlined  the  plans  for  the 
program. 

"The  proposed  series  would  be  an  official  radio  program 
consisting  of  interpretations  by  well-known  commentators  on  the 
national  defense  reports  of  different  government  departments", 

Mr.  Williams  said. 


The  veteran  reporter  explained  that  the  program  would 
be  a  half  hour  in  length  and  probably  would  be  broadcast  Sunday 
nights.  The  programs  will  be  rotated  on  the  three  national  net¬ 
works  with  each  chain  devoting  a  half  hour  every  third  week. 

Mr.  Williams  stated  that  the  commentators  roundtable  was 
designed  to  give  the  American  people  authoritative  explanations 
of  the  progress  of  national  defense  by  ne  casters  trained  in 
analyzing  the  content  of  government  measures  and  experienced  in 
radio  presentation. 

A  complete  production  plan  for  these  programs  will  be  in 
the  President's  hands  by  next  week,  Mr.  Williams  declared. 


"I  have  ben  conferring  with  government  officials  concern¬ 
ing  the  program  for  about  a  month",  the  WCR  commentator  added.  "I 
saw  President  Roosevelt  at  Hyde  Park  two  weeks  ago  and  again  in 
Washington  last  week-end.  "  // 


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Heinl  Radio  Business  Letter 

.V  *#' 

WASHINGTON,  D.  C. 

A#" 


2400  CALIFORNIA  STREET 


INDEX  TO  ISSUE  OF  SEPTEMBER  24,  1940 


Radio  Accused  As  Frankenstein  Of  Printed  Publications . .....2 

NAB  Advises  On  Political  Broadcasts . 5 

McCormick  To  Make  WON  One  Of  Greatest  Stations . 6 

False  Statements  Charged  In  Wilkes-Barre  Closing  Down 
Thirteen  Television  Stations  Now  Being  Built . 

Grinding  Them  Out . 9 

RMA  Members  To  Meet  In  N.  Y . . . 9 

Three  Utah  Stations  Form  Network . 10 

President’s  Philadelphia  Speech  Seen  Political . 10 

Trade  Notes . 11 

Now  ASCAP  Hurls  The  Monopoly  Charge  At  NBC . 12 


No.  1268 


00  CO 


September  24,  1940 


RADIO  ACCUSED  AS  FRANKENSTEIN  OF  PRINTED  PUBLICATIONS 


Charging  that  radio  stations  obtain  government  monopoly 
licenses  -  for  which  they  pay  nothing  to  the  government  -  and 
have  realized  profits  of  millions  through  transfer  of  these 
licenses,  John  B.  Haggerty,  President,  International  Allied  Print¬ 
ing  Trades’  Association,  bitterly  attacked  the  broadcasting 
industry.  Speaking  at  the  Golden  Anniversary  Convention  of  the 
International  Printing  Pressmen  in  Tennessee,  Mr.  Haggerty  further 
declared  that  the  profits  of  one  radio  company,  the  Columbia 
Broadcasting  System,  in  four  depression  years  alone  were  $17,000,000 
on  a  cash  investment  of  less  than  $1,600,000.  The  inroads  of  radio 
advertising  were  depriving  thousands  of  workers  of  their  jobs,  he 
further  declared. 

The  speaker  said  that  the  Allied  Printing  Trades  Associa¬ 
tion  had  created  a  Committee  on  Radio,  consisting  of  George  L. 

Berry,  President,  International  Printing  Pressmen,  Edward  J.  Volz, 
President,  Photo-Engravers  International  Union,  and  himself  to  act 
on  this  important  question. 

"With  men  and  management  realizing  what  they  are  confront¬ 
ed  with  through  the  widespread  activities  of  the  radio  in  the 
advertising  field,  the  question  prompts  itself,  quite  naturally, 
what  will  they  do  with  the  possibility  of  television,  which  will 
take  salesmen  off  the  road  by  sending  their  pictures  into  the  homes, 
presenting  fashion  shows,  vacuum  cleaning  and  other  demonstrations, 
cooking  lessons,  etc.,  Mr.  Haggerty,  in  closing,  said.  "So  far, 
the  radio  with  its  medicine  shows  has  given  only  the  dialogue,  but 
television  will  give  you  both  the  dialogue  and  motion  pictures  of 
actors  and  scenery  in  colors.  This  is  certainly  something  to  worry 
the  printing  trades  industry  more  than  the  radio,  because  the  air 
will  always  be  cheaper  than  newsprint. 

"I  would  recommend  that  every  delegate  to  this  convention, 
upon  his  return  to  his  local  Union,  call  the  attention  of  his  Union 
to  this  matter.  I  would  further  recommend  that  each  Union  e.ppoint 
a  Radio  Committee,  and,  your  committee,  as  well  as  the  members  of 
your  local  Union,  should  call  the  attention  of  your  candidates  for 
Congress  to  the  fact  that  this  unbridled  and  unfair  competition  on 
the  part  of  radio  broadcast  stations,  licensed  by  the  Government, 
and,  for  which  license  they  pay  the  government  nothing,  is  depriv¬ 
ing  thousands  of  printing  trades  workers  of  their  opoortunitie s  for 
jobs.  " 


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9/24/40 


Immediately  after  this  address,  President  Haggerty  sent 
a  letter  to  publishers  of  magazines,  newspapers,  and  farm  publi¬ 
cations  which  read,  in  part,  as  follows: 

"The  continuance  of  a  free  press,  in  America,  is  dependent 
upon  our  newspapers,  magazines  and  farm  papers  securing  sufficient 
independent  income  through  the  printing  of  national  advertising  to 
meet  expenses,  pay  necessary  taxes  and  show  some  profit  on  the 
capital  invested. 

"Radio  advertising,  which,  in  1929,  received  but  3  cents  on 
the  advertising  dollar,  in  1939  received  directly  some  19  cents  of 
the  advertising  dollar.  For  1939  newspapers  received  16  per  cent 
less,  magazines  received  17  per  cent  less  and  farm  papers  received 
50  per  cent  less  of  the  advertising  dollar  than  they  received  in 
1929. 

"If  we  charge  to  radio  advertising,  as  is  proper,  the  millions 
spent  for  radio  time  plus  the  additional  millions  spent  for  authors, 
artists,  music,  telephone  costs,  etc.,  which  expenditures  were  nec¬ 
essary  to  make  radio  advertising  possible,  we  would  most  likely 
ascertain  that  radio  advertising,  in  1939,  secured  more  than  30 
cents  of  the  total  advertising  dollars  spent  in  newspapers,  maga¬ 
zines,  farm  papers,  out-door  advertising  and  radio. 

"Printing  Trades  workers  are  keenly  interested  in  this  matter 
for  three  reasons:  first,  to  insure  the  retention  of  a  free  press; 
secondly,  because  of  the  already  substantial  loss  and  the  threaten¬ 
ed  increased  loss  of  job  opportunities,  and,  third,  because  of  the 
effect  which  the  loss  of  advertising  revenues  will  ultimately  mean 
in  retarding  their  efforts  to  secure  better  wages  and  working  condi¬ 
tions.  . 

"We  will  greatly  appreciate  your  perusing  the  attached  remarks 
and  your  assuring  us,  if  you  believe  as  we  do,  of  your  cooperation 
in  seeking  some  constructive  way  in  which  to  modify,  at  least,  the 
unfair  competition  which  is  herein  referred  to.  " 

Here  are  some  of  the  highlights  of  Mr.  Haggerty's  speech 
to  the  pressmen: 

"In  its  first  stage,  radio  appeared  to  the  press  as  a  novelty 
with  the  result  that  the  press  gave  it  millions  of  dollars  worth 
of  space  gratis  as  it  always  has  for  professional  baseball.  The 
press  was  gullible  enough  to  give  radio  far  more  free  space  than 
radio  could  have  ever  hoped  to  purchase.  Radio  programs  were 
featured  much  the  same  as  a  band  concert  and  the  press  played  up 
these  radio  artists  in  the  theatres  while  the  theatre  managers 
played  up  these  radio  artists  in  the  papers.  This,  of  course,  was 
fine  for  the  owners  of  radio  stations  out  selling  time  to  national 
advertisers. 

"It  was  not  realized  by  the  press  that  through  such  publicizing 
on  the  air  it  was  building  up  for  itself  most  severe  competition. 
Little  did  the  press  appreciate  that  the  radio  would  spell  finish 
to  all  Sports  Extras,  and,  as  a  result  of  all  this,  the  daily  news¬ 
papers  soon  heard  radio’s  slogan:  'You  get  your  news  first  by 
radio'.  This  is  true,  and  the  radio  listener,  and  almost  everyone 

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9/24/40 


has  a  radio,  now  gets  the  news  on  the  air  as  soon  as  the  editor. 

The  press  must  now  realize  that  it  has  helped  to  create  its  own 
Frankenstein.  " 

"During  the  last  decade  a  new  and  already  highly  dangerous 
competitor  has  entered  the  field  of  advertising  and  has  each  year 
deprived  additional  thousands  of  our  workers  of  their  job  opportun¬ 
ity  s. 

"I  refer  to  radio  broadcasting,  which,  for  the  year  1939,  has 
diverted  from  printed  publications  advertising  income  direct  to 
the  radio  stations  alone  of  some  $170,000,000.  This  sum  of 
$170,000,000  represents  only  the  amount  paid  directly  to  the  radio 
stations.  In  order  to  arrive  at  the  true  amount  of  advertising 
diverted  from  printed  publications  in  1939  alone,  it  would  be 
necessary  to  add  to  this  $170,000,000  the  estimated  additional 
$200,000,000  spent  in  1939  for  artists,  actors,  bands,  and  tele¬ 
phone  costs  which  made  the  spending  of  this  $170,000,000  with  the 
radio  stations  advisable. 

"Contrast  this  $370,000,000  spent  in  1939  for  radio  advertis¬ 
ing  with  the  total  advertising  income  of  $525,000,000  spent  with  all 
the  newspapers,  daily  and  Sunday;  the  $150,000,000  spent  in  1939  in 
all  our  magazines;  and  the  $17,000,000  spent  for  advertising  in  all 
our  farm  publications. " 

"In  1929,  when  newspapers  had  an  advertising  income  of  some 
$800,000,000;  when  magazines  had  an  advertising  income  of 
$240,000,000;  when  farm  publications  had  an  advertising  income  of 
$35,000,000,  radio  broadcasting  stations  had  an  advertising  income 
of  but  $40,000,000.  " 

"If  you  add  the  $170,000,000,  which  the  radio  broadcast  sta¬ 
tions  received  directly,  and  the  estimated  $200,000,000  which  was 
spent  collaterally  to  make  this  radio  advertising  possible,  you 
find  that  this  new  competitor,  in  1939,  received  some  70  percent 
as  much  as  the  total  amount  received  for  advertising  by  all  of  the 
newspapers,  and,  almost  twice  as  much  as  the  total  amount  spent 
for  advertising  in  all  of  the  magazines. " 

"The  radio  broadcasters  receive  a  license  from  the  government, 
for  which  they  pay  nothing  to  the  government,  and  also  they  hold 
a  monopoly  in  the  community  in  which  they  operate. 

"In  passing  I  might  add  that  the  recent  report  of  the  Monopoly 
Investigating  Committee  of  the  Federal  Communications  Commission 
concludes  that  even  "our  democracy  is  threatened"  by  this  radio 
monopoly.  I  quote  from  their  report  as  follows: 

"'To  the  extent  that  the  ownership  and  control  of  radio 
broadcast  stations  falls  into  fewer  and  fewer  hands,  whether  they 
be  network  organizations  or  other  private  interests,  the  free  dis¬ 
semination  of  ideas  and  information,  upon  which  our  democracy 
depends,  is  threatened.  '  " 

"The  profits  of  the  radio  broadcasting  stations,  the  diversion 
of  advertising  from  newspapers,  magazines  and  farm  papers  has 
already  resulted  in  newspaper  publishers  spending  millions  of 
dollars,  taken  from  the  profits  of  newspaper  publishing  in  the 
past,  in  the  purchase  of  radio  broadcasting  stations. 

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9/24/40 


'•it  is  understood  that  many  newspaper  publishers  contend  that 
the  purchase  of  these  competitors  for  advertising,  radio  stations, 
was  necessary  to  protect  their  local  advertising  field. 

"During  the  past  few  years  printed  publications,  especially 
the  newspapers,  although  the  same  could  well  apply  to  magazines, 
have  found  another  radio  worm  diverting  their  advertising. 

"An  advertising  agency  or  persons  experienced  in  advertising 
solicitation  secure  a  license  to  operate  a  radio  station  in  one 
community  and  then  secure  additional  licenses  for  booster  radio 
stations  in  localities,  say  25  or  30  miles  away.  In  those  local¬ 
ities,  with  an  investment  of  a  comparatively  few  thousands  of 
dollars,  they  erect  a  radio  transmitter,  connected  by  telephone 
with  the  major  radio  station,  and,  immediately  they  divert  many 
additional  thousands  of  advertising  dollars  from  struggling  news¬ 
papers  and  farm  publications  and  thus  destroy  the  opportunities 
for  jobs  of  printing  trades  workers  employed  in  those  publications." 

"National  advertising  is  handled,  promoted  and  placed  by 
national  advertising  agencies.  When  we  find  a  governmental  agency, 
after  an  exhaustive  survey,  reporting  that  90  percent  of  all  net¬ 
work  commercial  programs  are  builded  by  advertising  agencies,  we 
find  one  of  the  reasons  for  this  unusual  condition. 

"Newspapers  and  magazines  pay  to  the  advertising  agencies  a 
commission  of  15  percent.  Likewise  the  radio  broadcast  stations 
and  networks  pay  to  the  advertising  agencies  a  commission  of  15 
percent.  If  an  advertising  agency  is  authorized  to  pay  out 
*$1,000,000  for  advertising  in  newspapers  and  magazines,  they  must 
necessarily  contact  several  different  publications  and  their  net 
income  is  probably  reduced  to  some  7  or  8  percent  of  this  15  percent 
commission.  When  the  same  agency  has  $1,000,000  to  spend  on  radio 
advertising  they  contact  but  one  or  two  radio  networks  and  their 
15  percent  commission  is  practically  net.  Add  to  this  net  income 
the  amounts  which  the  advertising  agency  receives  in  additional 
commission  from  artists,  bends,  etc.,  and  you  can  readily  see  that 
the  net  cash  income  for  the  advertising  agency  is  much  greater, 
when  they  place  their  advertising  with  radio  broadcasting  stations, 
than  when  they  place  advertising  with  printed  publications. " 

xxxxxxxxxx 


NAB  ADVISES  ON  POLITICAL  BROADCASTS 


To  keep  its  members  from  getting  out  on  a  limb,  those 
members  having  difficulty  in  determining  the  necessity  of  accepting 
political  broadcasts  are  urged  by  the  National  Association  of 
Broadcasters  to  communicate  with  the  Association  in  Washington 
giving  full  particulars. 

Just  who  in  the  Capital,  if  anybody,  the  NAB  officials 
turn  to  in  these  matters  deponents  sayeth  not. 

XXXXXXXXXX 


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MC  CORMICK  TO  MAKE  WGN  ONE  OF  GREATEST  STATIONS 


9/24/40 


A  tremendous  expansion  in  program  building,  designed  to 
make  WGN  outstanding  among  America's  radio  stations,  was  announced 
by  Col.  Robert  R.  McCormick,  editor  and  publisher  of  the  Chicago 
Tribune,  and  President  of  WGN.  In  its  1940-41  development,  WGN 
will  cooperate  closely  with  the  growing  Mutual  network  which  now 
numbers  seven  member  stations  and  150  affiliates. 

MA  year  ago",  said  Colonel  McCormick  in  outlining  his 
plans,  "WGN  had  to  decide  whether  it  would  submit  to  the  tendency 
of  the  times  for  monopoly  in  radio  or  develop  the  strength  to 
stand  on  its  own  feet. 

"If  WGN  were  to  succeed  as  an  independent  station,  it 
would  have  to  develop  features  it  did  not  possess;  would  have  to 
enter  fields  with  which  it  was  not  acquainted.  The  decision  was 
not  easily  taken,  but  it  was  never  in  doubt. 

"We  decided  that  at  all  cost  WGN  must  be  a  Chicago  sta¬ 
tion,  not  the  Chicago  outlet  of  a  New  York  network.  We  determined 
that  a  great  radio  station  must  be  created  in  Chicago,  the  gateway 
city  between  east  and  west,  through  which  pass  the  nation's 
artists.  " 


Colonel  McCormick  said  that  free  radio  must  assume  the 
great  attributes  of  the  free  press.  It  must  be  more  than  a  system 
of  communication. 

"It  has  not  been  easy  for  radio  to  reach  the  clarity  and 
verity  in  news  and  comment  that  the  profession  of  journalism  has 
attained  in  many  generations",  said  Colonel  McCormick.  "WGN  has 
achieved  this  by  using  such  outstanding  newspaper  correspondents 
as  Sigrid  Schultz,  Raymond  Gram  Swing,  Fulton  Lewis,  Arthur  Sears 
Henning  and  Captain  Herne. 

"Radio’s  economic  function  is  to  lend  commerce  and 
industry  the  indispensable  services  of  advertising,  essential  to 
progress  under  our  American  system.  Radio's  civic  duty  is  to 
stimulate  patriotism,  to  inspire  a  devoted  and  discerning  citizen¬ 
ship. 


"During  the  past  months  the  American  radio  audience  has 
been  hearing  a  new  slogan:  'Watch  WGN  and  Mutual. ' 

"The  Mutual  network  began  as  an  association  of  four 
independent  stations  as  recently  as  October,  1934.  It  now  includes 
seven  member  stations  and  150  affiliate  stations,  all  working  to¬ 
gether  in  their  own  communities  and  serving  in  the  regional  as 
well  as  national  interest. 

"It  may  be  that  to  accomplish  our  ideals  we  shall  have  to 
make  Chicago  the  radio  center  of  America.  In  any  event,  by  means  of 
its  electrical  facilities,  its  studio  equipment,  its  central  loca- 


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9/24/40 


tion  for  obtaining  artists,  and  above  all,  by  its  independence, 

WGN  will  be  the  outstanding  radio  station  of  America.  11 

Colonel  McCormick  spoke  on  the  "In  Chicago  Tonight" 
program  just  after  presentation  of  the  poetic  cramatization  "Ode 
to  Chicago"  in  which  Charles  Laughton,  the  great  character  actor, 
was  starred.  The  production  brought  to  life  the  "I  Will"  spirit 
of  innovation  and  progress  of  the  city  in  which  WG-N  serves  as  the 
Voice  of  the  People. 

Musical  attractions  scheduled  for  the  season  reflect 
the  energetic  campaign  in  progress  at  WGN.  The  programs  listed  in 
the  announcement  are  as  follows: 

The  Chicago  Symphony  Orchestra,  directed  by  Dr.  Frederick 
Stock,  will  be  heard  every  Thursday  evening  from  Oct.  10  through 
April  17.  World  famous  guest  soloists  will  be  on  the  air. 

The  WGN  Symphony  Orchestra,  directed  by  Henry  Weber, 
will  be  presented  each  Wednesday  and  Sunday  evening. 

Chicago  Opera  Company  offerings  will  be  broadcast  every 
Monday  throughout  the  season,  from  November  4  through  December  9. 

The  Chicago  Theater  of  the  Air  on  October  5  will  inaugui- 
ate  a  great  series  of  streamlined  operettas  starring  distinguished 
singers.  The  operettas  will  be  heard  every  Saturday  night. 

All  these  programs  will  be  broadcast  over  the  Mutual 
Broadcasting  System  making  Chicago  the  musical  center  of  the  na¬ 
tion  on  five  evenings  out  of  seven. 

Colonel  McCormick  noted  that  among  the  special  features 
scheduled  for  the  near  future  is  the  World  Series,  again  to  be 
broadcast  exclusively  by  WGN  and  the  Mutual  network.  A  banner 
lineup  of  football  games,  soon  to  be  announced,  will  be  another 
Autumn  highlight 

The  fashion  show,  which  will  climax  the  $7,500  American 
Fashions  contest  sponsored  by  The  Tribune  also  will  be  broadcast, 
on  October  2.  The  40  winning  designs  are  to  be  dramatized  in  a 
unique  musical  production  directed  by  William  A.  Bacher,  WGN  chief 
of  programs. 

In  addition  to  these  features  the  time  tested  variety 
programs,  musical  quarter  hours  and  hal£hours,  weekday  serials  and 
sportscasts  will  be  retained  and  others  of  similar  appeal  added  to 
the  schedule.  Frequent  and  complete  news  broadcasts  of  happenings 
at  home  and  abroad  will  remain  one  of  the  premier  public  service 
policies  of  WGN  and  Mutual. 

XXXXXXXX 


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FALSE  STATEMENTS  CHARGED  IN  WILKES-BARRE  CLOSING  DOWN 


On  the  ground  that  the  applicant  is  not  financially  or 
otherwise  qualified  to  continue  station  operation,  and  that  mis¬ 
representations  were  made,  the  Federal  Communications  Commission 
has  moved  to  deny  the  application  of  John  H.  Stenger,  Jr.,  for 
renewal  of  license  of  radio  station  WBAX,  operating  on  1210  kilo¬ 
cycles,  at  Wilkes-Barre,  Pa. 

After  reviewing  the  case,  the  Commission  concludes  that 
the  grant  will  not  serve  public  interest,  convenience,  or  necessity 
because : 


1.  The  applicant  is  not  financially  qualified  to  continue 
the  operation  of  the  station. 

2.  In  view  of  the  facts  recited  with  respect  to  false  repre¬ 
sentations  made  to  the  Commission  by  the  applicant  in  applications 
and  other  documents,  it  is  apparent  that  his  character  is  not  such 
as  to  qualify  him  to  hold  the  license  of  a  radiobroadcast  station. 

3.  Station  licenses  heretofore  granted  to  the  applicant  for 
the  operation  of  Station  WBAX,  the  frequency  authorized  to  be  used 
therein,  and  the  rights  therein  granted  have  been  transferred  to 
Glen  D.  Gillett,  Marcy  Eager,  and  Stenger  Broadcasting  Corporation 
without  obtaining  the  consent  of  the  Commission  thereto  in  writing, 
in  violation  of  the  provisions  of  the  Communications  Act. 

4.  The  radio  transmitting  apparatus  described  in  licenses 
heretofore  issued  to  the  applicant  for  the  operation  of  Station 
WBAX  has  been  used  and  operated  by  Glen  D.  Gillett  and  Marcy 
Eager,  directly  and  through  agents,  and  by  Stenger  Broadcasting 
Corporation,  through  its  officers  and  directors,  particularly  with 
respect  to  the  control  of  physical  operation  and  programs  broad¬ 
cast,  in  violation  of  the  Communications  Act. 

5.  The  applicant  has  relinquished  control  of  this  station  and 
his  right  to  exercise  same;  and  has  failed  to  discharge  properly 
the  obligations  made  incumbent  upon  him  in  licenses  which  he  has 
received  from  the  Commission. 

xxxxxxxxxx 

THIRTEEN  TELEVISION  STATIONS  NOW  BEING  BUILT 

There  are  now  thirteen  television  stations  being  built 
in  the  U. S.  with  many  more  in  prospect.  Those  at  present  licensed 
are : 


Balaban  &  Katz  Corporation,  Chicago,  Ill;  The  Crosley  Corpora¬ 
tion,  Cincinnati,  Ohio;  Allen  B.  DuMont  Laboratories,  Inc. ,  area 
of  New  York,  New  York;  General  Electric  Company,  Schenectady,  N.Y.; 
National  Broadcasting  Co. ,  Inc. ,  Portable  (Camden,  New  Jersey  and 
New  York,  New  York);  National  Broadcasting  Co.,  Inc.,  are  of  New 
York,  New  York;  National  Broadcasting  Co. ,  Inc. ,  to  be  determined, 
District  of  Columbia;  National  Broadcasting  Co. ,  Inc. ,  to  be  deter¬ 
mined,  Philadelphia,  Pennsylvania;  Philco  Radio  and  Television 
corp.  ,  Philadelphia,  Pa.  ;  RCA  Manufacturing  Company,  Inc. ,  Camden, 
N.J.;  Television  Productions,  Inc.,  Los  Angeles,  California; 

Zenith  Radio  Corporation,  Chicago,  Illinois;  Bamberger  Company, 
Newark,  N.  J.  (TOR). 

-  8  - 


xxxxxxxxxxx 


■  -4.  o  E 


9/24/40 


GRINDING  THEM  OUT 


The  BMI  Board  of  Directors,  meeting  in  New  York  last 
week,  made  one  important  decision  and  that  was  that  the  BMI  produc¬ 
tion,  which  is  already  at  a  record  high,  should  be  increased. 

M.  E.  Tompkins,  Vice-President  and  General  Manager,  announces  that 
the  increased  scale  of  production  goes  into  effect  immediately. 

Within  two  weeks  Mr.  Tompkins  expects  to  have  BMI  on  a  schedule 
of  fourteen  new  popular  numbers  a  week,  a  100  percent  increase  in 
this  department,  and  thirty  new  BMI  arrangements  of  standard 
material,  which  is  a  20  percent  increase  over  the  present  rate 
for  this  part  of  the  catalogue.  The  production  of  the  standard 
numbers  will  be  further  increased  so  that  by  the  middle  of  October, 
thirty-five  a  week  will  be  issued.  Mr.  Tompkins  gives  assurance 
that  these  increases  will  be  made  without  any  sacrifice  in  the 
high  quality  of  its  music  "for  which  BMI  has  already  become  noted". 

BMI  has  signed  a  contract  under  which  it  will  obtain 
exclusive  performing  rights  to  the  principal  catalogues  of  Latin 
and  Central  American  music.  The  transaction  carries  the  rights, 
commencing  January  1,  1941,  to  all  the  Latin- American  works  in  the 
catalogues  of  Southern  Music  Publishing  Company,  Inc. ,  Southern 
Music  Internacional,  Editorial  PHAM,  Mexican  Association  of  Authors 
and  Composers,  Inc. ,  and  Editorial  Argentina  de  Musica  Internacional. 
The  BMI  broadcasters  receive  in  excess  of  four  thousand  works, 
over  three  thousand  of  which  are  available  on  phonograph  records. 

xxxxxxxxx 


RMA  MEMBERS  TO  MEET  IN  N.  Y. 


The  Fall  meeting  of  members  of  the  Radio  Manufacturers' 
Association  will  be  held  during  two  days  next  month,  October  7  and 
8,  in  New  York  City.  The  RMA  membership  will  be  tendered  a  lunch¬ 
eon  on  October  8  by  James  S.  Knowlson,  President,  and  the  RMA 
Board  of  Directors,  which  will  hold  its  customary  Fall  meeting 
after  the  membership  luncheon. 

Brief  addresses  at  the  RMA  luncheon  will  be  made  by  Mr. 
Knowlson  and  Dr.  W.  R.  G.  Baker,  of  the  General  Electric  Company, 
Bridgeport,  Conn. ,  Chairman  of  the  National  Television  Systems 
Committee . 


Problems  of  National  Defense  and  also  industry  promotion 
will  be  considered.  At  the  meeting  on  Monday,  October  7,  the  RMA 
will  consider  an  Association  parts  warranty,  for  a  period  of  years 
to  be  recommended  for  maintenance  of  replacement  parts  for  con¬ 
sumers.  On  Tuesday  morning,  October  8,  there  will  be  a  meeting  of 
the  entire  Receiving  Set  Division,  and  also  a  meeting  of  the 
Tube  Division. 


xxxxxxxxxx 

-  9  - 


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9/24/40 


THREE  UTAH  STATIONS  FORM  NETWORK 


Effective  September  29,  three  Utah  stations,  KLO, 
Ogden-Salt  Lake  City;  KOVO,  Provo,  and  KEUB ,  Price,  will  group 
themselves  into  a  full  time  regional  network  and  simultaneously 
as  a  network  become  affiliated  with  the  Mutual  Broadcasting  System. 

Extension  of  Mutual  service  into  Utah  through  The  Inter¬ 
mountain  Network  will  give  the  Mutual  Broadcasting  System  con¬ 
centrated  coverage  of  the  full  intermountain  market,  including 
Utah,  southeastern  Idaho,  western  Wyoming  and  eastern  Nevada. 

This  intermountain  market  heretofore  has  been  the  only  major 
market  in  the  West  not  served  by  Mutual,  KLO,  key  station  for  the 
newly  formed  Intermountain  Network,  is  a  5000  watt  full  time  out¬ 
let  with  studios  in  Ogden  and  Salt  Lake  City.  KOVO,  Provo,  and 
KEUB,  Price,  both  are  250  watt  full  time  locals.  Studios  and 
business  offices  of  the  Intermountain  Network  are  in  the  McIntyre 
Building,  Salt  Lake  City. 

In  addition  to  Mutual  program  service,  stations  of  the 
Intermountain  Network  will  carry  a  substantial  schedule  of 
regional  sustaining  and  commercial  features  originating  in  Salt 
Lake  City,  Ogden,  Provo  and  Price. 

Stations  KOVO  and  KEUB  will  be  programmed  exclusively 
by  Mutual.  KLO  will  carry  both  Mutual  and  NBC  Blue  programs. 

Officers  of  The  Intermountain  Network,  Inc. ,  are: 

Paul  R.  Heitmeyer,  President  and  Manager,  Jack  Richards  and  Arch 
Madsen,  Vice-Presidents;  Clifton  A.  Tolboe,  Treasurer,  and  A.  L. 
G-lasmann,  Secretary. 

Socs  N.  Vratis  will  be  national  advertising  manager 
and  George  F.  Hollingbery  Company  will  be  the  national  sales 
repre  sentative. 


xxxxxxxxxx 

PRESIDENT’S  PHILADELPHIA  SPEECH  SEEN  POLITICAL 

Criticizing  President  Roosevelt  for  the  use  of  free  radio 
time,  David  Lawrence  writes  in  the  Washington  Star: 

’’Although  the  three  major  broadcasting  companies  decided 
to  give  free  time  to  President  Roosevelt’s  radio  address  at  the 
University  of  Pennsylvania,  it  was  as  transparently  a  political 
address  as  if  it  had  been  made  by  Senator  Guffey  who,  together 
with  other  prominent  New  Deal  Democrats,  toured  Philadelphia  with 
the  President  in  a  manifest  piece  of  political  campaigning. 

"Mr.  Roosevelt  used  his  University  of  Pennsylvania  speech 
to  answer  recent  attacks  by  Wendell  Willkie,  Republican  nominee. 

He  had  every  right  to  do  this,  and  nobody  can  object  to  a  Presi¬ 
dent  campaigning  for  himself.  What  is  causing  public  criticism  is 
the  apparent  effort  to  make  a  political  speech  under  supposedly 
non-political  auspices  and  to  gain  the  use  of  free  radio  time  and 
thus  save  the  Democratic  campaign  funds  for  other  ourooses.fl 

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TRADE  NOTES  : : : 

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The  Federal  Communications  Commission  has  "hamstrung 
television  for  its  own  good"  Alva  Johnson  will  say  in  an  article, 
"Trouble  in  Television",  to  appear  in  the  Saturday  Evening  Post 
of  this  week  (September  28). 


Figures  covering  705  broadcasting  stations  (excluding 
networks)  show  that  average  weekly  pay  check  was  $41.94.  Network 
employees  received  $63.03. 


The  full  schedule  of  home  football  games  of  the  Univer¬ 
sity  of  Pennsylvania  beginning  Oct.  5,  will  be  televised  this 
Fall  by  the  Philco  Radio  &  Television  Corporation,  in  cooperation 
with  the  University,  the  Atlantic  Refining  Company  and  N.  W. 

Ayer  &  Son,  Inc. 


The  Sky  Club  of  Indianapolis  is  operating  a  new  itiner¬ 
ant  aircraft  station  on  3105  kilocycles. 


Libby,  McNeill  &  Libby,  of  Chicago,  will  have  a  new 
coastal  station  frequency  3190  kc.  to  communicate  with  its  fish' 
ing  ships  in  Alaskan  waters. 


Gerald  D.  Coleman,  Chief  Engineer  at  the  WPIT  transmitter 
at  Saxonburg,  has  resigned  to  become  Chief  Engineer  of  WKPA,  a  new 
broadcasting  station  now  under  construction  at  New  Kensington,  Pa. 


The  Mackay  Radio  &  Telegraph  Company  has  been  granted 
permission  to  establish  regulations  applicable  to  "Birthday  Greet¬ 
ing"  messages  between  the  U. S. ,  Guam,  Honolulu,  Midway  and  Manila. 

xxxxxxxxxxxx 

CORRECTION 

In  our  issue  of  September  13,  we  said  "A  nice  little 
joy-ride  is  ahead  of  the  Federal  Communications  Commission  when 
it  holds  its  hearing  at  Memphis,  Tenn.  to  look  into  the  needs  of 
radio- telephone  communications  on  the  Mississippi  River.  " 

This  was  incorrect.  The  Commission  itself  is  not  going 
to  Memphis  and  never  intended  to.  Only  an  engineer  and  an 
examiner,  and  possibly  a  lawyer,  will  go  to  conduct  a  hearing  at 
the  request  of  and  for  the  convenience  of  parties  in  that  part  of 
the  country  who  could  not  afford  the  expense  of  a  trip  to  New 
York.  We  regret  the  error. 


xxxxxxxxxx 

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NOW  AS CAP  HURLS  THE  MONOPOLY  CHARGE  AT  NBC 


The  American  Society  of  Composers  characterized  the 
ruling  of  Niles  Trammell,  President  of  the  National  Broadcasting 
Company,  that  each  orchestra  appearing  on  a  sustaining  program, 
beginning  October  1  must  use  at  least  three  compositions  not  in 
the  Society's  catalogue  as  "another  move  to  establish  monopolistic 
control  in  the  radio  industry". 

In  his  letter  to  the  orchestras  Mr.  Trammell  explained 
that  early  in  August  all  orchestra  leaders  had  been  asked  to  play 
at  least  one  composition  which  N3C  clearly  will  be  able  to  use 
after  Dec.  31,  and  that  this  requirement  was  being  stepped  up  in 
order  to  increase  the  use  of  music  which  will  be  available  to  NBC 
after  the  ASCAP  contract  expires,  Dec.  31. 

"ASCAP  has  not  relaxed  its  exorbitant  demands  upon  us, " 

Mr.  Trammell  stated  in  his  letter.  "December  31,  1940,  is  approach¬ 
ing  rapidly  and  it  is  essential  that  we  continue  to  increase  the 
use  on  NBC  sustaining  shows  of  the  music  which  will  be  available 
to  us  after  that  time.  Therefore,  commencing  October  1st,  NBC 
will  require  that  all  orchestras  broadcasting  on  NBC  sustaining 
shows,  whether  they  are  studio  or  remote  control  programs,  must 
schedule  and  play  during  each  of  their  NBC  broadcast  periods,  at 
least  three  compositions  which  NBC  clearly  will  be  able  to  use 
after  December  31,  1940. " 

In  reply,  an  ASCAP  representative  declared: 

"I  wish  the  Trammell  ruling  called  for  six  rather  than 
three  non-ASCAP  numbers  on  each  sustaining  program",  the  repre¬ 
sentative  said.  "In  that  way  the  public's  reaction  would  be  gained 
that  more  rapidly.  " 

He  also  charged  NBC  with  taking  advantage  of  its  pre¬ 
sent  contract  with  the  Society.  By  inserting  three  non-ASCAP 
selections  into  each  sustaining  program  in  an  effort  to  wean  the 
public  away  from  the  Society's  music  before  the  agreement  expires, 
NBC  will  be  using  the  composer  group's  songs  to  "make  the  dose 
palatable",  he  pointed  out. 

Inquiry  at  Broadcast  Music,  Inc. ,  formed  by  the  radio 
men  to  combat  the  fees  of  the  Society  for  the  right  to  use  its 
music  on  the  air,  disclosed  that  the  Columbia  and  Mutual  Systems 
soon  would  follow  NBC's  lead  with  similar  rulings. 

xxxxxxxx 

R.  C.A.  Communications,  Inc.,  Rocky  Point,  N.  Y. ,  and  New 
Brunswick,  N.  J. ,  have  been  granted  special  temporary  authority  to 
point  to  point  radiotelegraph  stations  in  the  Fixed  Public  Service 
at  Rocky  Point  and  New  Brunswick,  using  their  regularly  licensed 
equipment,  frequencies,  power  and  emission,  to  communicate  with 
radio  station  EAX-2  at  Barcelona,  Spain,  operated  by  Transradio 
Espanola  SA,  for  a  period  not  to  exceed  one  month. 

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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


,-i  BROADCASTING  COMPANY 

GENERAL  LiBRARY 

iii  ROCKEFELLER  PLAZA,  NEW  YORK,  i 

INDEX  TO  ISSUE  OF  SEPTEMBER  27,  1940 


No  Broadcaster  Worry  Seen  In  New  Defense  Board . 2 

Defense  Communications  Board  Created . 4 

Canadian  Sales . 5 

Thad  Brown  Confirmation  Still  In  Jeopardy . 6 

U.  S.  International  Stations  Multiply . 6 

Dutch  Radios  For  U.S.  Reshipment  Reported . 7 

National  Television  Progress  Reported . 7 

Microphone  Transforms  Slovenly  Speech  Of  Senators . 8 

Armstrong  Receives  FM  Patent . 8 

Dr.  Jewett  Heads  Bell  Research  Board . 9 

Trade  Notes . 10 

Develops  FM  "Translator0  For  Old  Sets . 11 

Retail  Sales  Sourt  To  10,000,000  Sets . 11 

I 

FM  Radio  Goal  100,000  For  1941 . 12 

Columbia  Again  Enters  Phonograph  Industry . 12 


No.  1269 


NO  BROADCASTER  WORRY  SEEN  IN  NEW  DEFENSE  BOARD 


There  seems  to  be  a  general  opinion  that  the  broadcasters 
have  nothing  to  fear  in  the  new  Federal  Communications  Defense 
Board  just  created. 

"The  broadcasters  have  had  the  idea  that  the  Government 
would  swoop  down  and  take  over  all  the  broadcasting  stations  in 
the  country",  one  high  official  said.  "Nothing  could  be  farther 
from  the  truth.  They  wouldn’t  know  what  to  do  with  these  stations 
if  they  had  them. 

"I  believe  the  new  Defense  Communications  Board  will 
simply  follow  the  President’s  order  to  recommend  such  precautions 
and  reallocations  as  shall  seem  desirable  under  military  condi¬ 
tions.  For  instance,  as  you  well  know,  attacking  planes  may  be 
guided  by  beams  from  a  radio  station.  That  being  true,  the  fre¬ 
quency  of  a  station  may  be  changed  here  and  there  but  that  wouldn’t 
necessarily  mean  the  taking  over  of  a  station,  but  if  it  did, 
which  would  be  very  doubtful,  it  would  mean  only  that  station.  " 

Chairman  James  L.  Fly,  of  the  Federal  Communications 
Commission,  who  is  also  Chairman  of  the  new  Defense  Board,  has 
repeatedly  assured  broadcasters  that  no  drastic  steps  were  con¬ 
templated.  Chairman  Fly  almost  simultaneously  with  his  appointment 
as  Defense  Chairman,  again  vigorously  set  forth  these  views  in  a 
National  Defense  broadcast  sponsored  by  the  Office  of  Government 
reports.  The  broadcast  took  the  form  of  an  interview  as  follows: 

INTERVIEWER:  I  understand,  Chairman  Fly,  that  the  Communications 

Act  gives  the  President  special  powers  with  respect 
to  communications  in  the  event  of  war  or  other 
national  emergency.  Just  what  do  those  authoriza¬ 
tions  embrace? 

CHAIRMAN  FLY:  It  is  only  natural,  and  logical,  that  the  President 
is  given  certain  powers  to  coordinate  and  utilize 
important  systems  of  communication  during  national 
emergency.  Fbr  one  thing,  Section  606  of  the  Com¬ 
munications  Act  enables  the  Chief  Executive,  if  he 
finds  it  necessary  for  the  national  defense  and 
security,  to  accord  certain  communications  priority. 
And,  under  like  emergency,  he  may  from  time  to  time 
suspend  or  amend  existing  rules  and  regulations  per¬ 
taining  to  radio  communication,  and  permit  Government 
use  of  particular  facilities,  if  need  be.  Also, 
stringent  provisions  may  be  invoked  to  prevent 
sabotage  of  radio  or  wire  communications  in  time  of 
national  stress. 

-  2  - 


9/27/40 


INTERVIEWER:  Does  this  mean,  Mr.  Chairman,  that  the  Federal  Govern¬ 

ment  will  take  over  radio  communication  bodily  in 
event  of  war  or  presidential  proclamation  that  an 
emergency  exists? 

CHAIRMAN  FLY:  No,  that  is  not  my  understanding.  On  the  contrary, 

it  seems  obvious  that  program  service  should  continue 
pretty  much  as  at  present.  After  all,  that  is  the 
American  system  of  broadcasting,  and  distinguishes  it 
from  the  situation  abroad,  where  broadcasting  has 
degenerated  to  a  system  of  propaganda,  and  television 
has  been  "blacked  out",  amateurs  rubbed  out,  and 
research  and  progress  retarded  for  more  years  than 
we  may  yet  realize.  Such  chaotic  conditions  as 
regards  communications  must  not  invade  the  United 
States.  For  one  thing,  our  Government  does  not  want 
to  interfere  with  radio  broadcasting  any  more  than  is 
necessary  for  the  national  protection.  Likewise,  it 
is  expedient  to  preserve  intact  the  present  linking 
up  of  radio  stations  throughout  the  land.  This  is  a 
large  country,  and  the  advantage  of  efficient  and 
instantaneous  communication  throughout  the  48  States 
and  possessions  is  essentially  important. 

International  communications  are  likewise  important. 

Of  course,  I  do  not  mean  to  imply  that,  under  actual 
emergency,  the  Government  might  not  temporarily  en¬ 
list  particular  radio  outlets  for  military  purposes, 
and  in  the  extreme  picture,  temporarily  shut  down, 
say,  seaboard  transmission  which  might  serve  as  a 
beacon  to  an  enemy  in  event  of  air  raids.  Also,  in 
an  actual  emergency,  the  Government  would  undoubtedly 
require  certain  periods  in  which  to  broadcast  official 
bulletins  and  other  public  announcements.  But  that 
would  not  necessitate  taking  over  broadcasting 
facilities  bodily.  The  broadcasters  stand  anxious 
and  willing  to  lend  their  facilities  and  give  time 
to  the  nation  at  stated  periods  or  on  other  occasions 
when  such  need  arises. 

INTERVIEWER:  From  what  you  say,  Chairman  Fly,  I  am  led  to  assume 

that  in  the  defense  picture  you  are  receiving  the 
cooperation  of  the  industry. 

CHAIRMAN  FLY:  We  most  assuredly  are,  I  am  delighted  to  report. 

Furthermore,  this  collaborative  spirit  is  reflected 
in  all  fields  of  communication.  It  not  only  per¬ 
meates  the  broadcasting  industry,  but  extends  through¬ 
out  the  commercial  fields,  and  into  the  domain  of  the 
amateurs.  You  must  realize  that  the  amateurs  consti¬ 
tute  a  valuable  source  of  supply  of  operators  and 
other  experts  for  the  military  and  other  services  in 
time  of  war. 


9/27/40 


CHAIRMAN  FLY: 
( Cont*  d) 


Besides  cooperating  in  every  particular  with  the 
Commission  in  normal  times,  the  amateur  has  been  of 
particular  aid  in  the  national  defense  set-up  by 
policing  his  own  frequencies.  It  may  be  interesting 
for  you  to  know  that  by  voluntary  action  most  amateurs 
stopped  communicating  to  warring  countries  long 
before  the  Commission  imposed  its  general  prohibition 
respecting  foreign  contacts.  I  cannot  o ver-emphasize 
the  fact  that  action  of  the  Commission  in  prescribing 
certain  general  curbs  is  precautionary  rather  than 
disciplinary.  We  are  proud  of  the  patriotic  and 
cooperative  response  of  operator  and  industry  both. 


INTERVIEWER: 


Mr.  Chairman,  has  the  FCC  uncovered  any  startling  use 
of  radio  for  espionage  purposes? 


CHAIRMAN  FLY: 


I  have  no  report  for  you  on  that  score.  I  might 
explain  though,  that  in  times  like  these  our  investi¬ 
gations  of  alleged  unauthorized  use  of  radio  have 
increased  tremendously  over  the  thousand  or  so  cases 
we  had  last  year.  The  American  public  is  now  natur¬ 
ally  "Fifth  Column"  conscious.  Every  antenna  on  a 
coastal  fisherman’s  shack  or  a  mountain  cabin  is  a 
potential  "spy"  outfit  in  the  eyes  of  some  observing 
citizens  under  the  present  situation.  It  is  necessary 
for  the  Commission  to  inquire  carefully  into  every 
case  reported  to  its  field  offices,  even  though  these 
suspicious  wires  oftentimes  lead  to  harmless  receiv¬ 
ers.  I  will  say  that  most  cases  of  unlicensed 
operation  turn  out  to  be  acts  of  thoughtless  or 
mischievous  youth. 


XXXXXXXX 


DEFENSE  COMMUNICATIONS  BOARD  CREATED 


President  Roosevelt  on  Tuesday  created  by  Executive 
Order  the  Defense  Communications  Board  the  chief  function  of  which 
is  to  coordinate  the  relationship  of  all  branches  of  communication 
to  the  National  Defense.  This  refers  not  only  to  radio  broadcast¬ 
ing,  but  also  embraces  common  carriers  such  as  commercial  radio¬ 
telephone  and  radiotelegraph  as  well  as  other  telephone,  telegraph 
and  cable  facilities.  The  Board,  according  to  the  Order,  will 
have  no  power  to  censor  radio  or  other  communications,  or  to  take 
over  any  facilities. 

The  President  designated  James  L.  Fly,  Chairman  of  the 
Federal  Communications  Commission,  as  Chairman  of  the  new  Board. 
Others  appointed  were  Maj.  Gen.  J.  0.  Mauborgne,  Chief  Signal 
Officer  of  the  Army ;  Rear  Admiral  Leigh  Noyes,  Director  of  Naval 
Communications;  Breckenridge  Long,  Assistant  Secretary  of  State  in 
Charge  of  International  Communications;  and  Herbert  E.  Gaston, 
Assistant  Secretary  of  the  Treasury  in  Charge  of  the  Coast  Guard. 

-  4  - 


9/27/40 


A  section  of  the  Executive  Order  set  up  specific  bar¬ 
riers  against  exercise  of  censorship  by  the  new  agency.  It  said: 

"The  Board  shall  take  no  cognizance  of  matters  pertain¬ 
ing  to  censorship.  The  Board  shall  study  the  physical  aspects  of 
domestic  standard  broadcasting  and  shall  recommend  such  pre¬ 
cautions,  supplementary  facilities  and  reallocations  as  it  shall 
deem  desirable  under  foreseeable  military  conditions.  It  shall 
also  make  plans  for  the  speedy  and  efficacious  use  of  all  neces¬ 
sary  facilities  in  time  of  military  emergency. " 

The  Order  specified  the  Board’s  functions  as  follows: 

"a.  The  needs  of  the  armed  forces  of  the  United  States,  of 
other  governmental  agencies,  of  industry,  and  of  other 
civilian  activities  for  radio,  wire,  and  cable  communi¬ 
cation  facilities  of  all  kinds. 

"b.  The  allocation  of  such  portions  of  governmental  and 
non-governmental  radio,  wire,  and  cable  facilities  as 
may  be  required  to  meet  the  needs  of  the  armed  forces, 
due  consideration  being  given  to  the  needs  of  other 
governmental  agencies,  of  industry,  and  of  other  civilian 
activities. 

"c.  The  measures  of  control,  the  agencies  to  exercise  this 
control,  and  the  principles  under  which  such  control 
will  be  exercised  over  non-military  communications  to 
meet  defense  requirements. " 

"During  any  war  in  which  the  United  States  is  a  belliger¬ 
ent,  or  any  national  emergency,  the  existing  Interdepartment  Radio 
Advisory  Committee  shall  act  as  a  Committee  of  the  Board,  but  only 
in  an  advisory  capacity",  the  Order  concludes.  "While  the  Inter¬ 
department  Radio  Advisory  Committee  is  so  acting  as  an  advisory 
committee,  all  of  its  reports,  recommendations,  or  communications 
normally  prepared  for  submission  to  the  President  shall  instead  be 
submitted  to  the  Board,  for  consideration  from  the  standpoint  of 
National  Defense  and  for  disposition. " 

xxxxxxxxxx 

CANADIAN  SALES 

The  Canadian  RMA  has  reported  sales  last  July  of  24,029 
receiving  sets  compared  with  23,720  in  July  1939.  Of  the  July, 

1940,  sales  12,346  were  electric  sets,  7,157  battery  sets,  2,193 
portable  sets,  134  phonograph  combinations  and  1,639  automobile 
sets.  The  comparative  July  1939  sales  were  12,122  electric  sets, 
10,500  battery  sets,  134  phonograph  combinations  and  964  automobile 
sets.  Canadian  inventories  reported  at  the  end  of  July  were 
114,241  sets  against  71,449  in  July,  1939. 

XXXXXXXXX 

-  5  - 


9/27/40 


THAD  BROWN  CONFIRMATION  STILL  IN  JEOPARDY 


Evidently  Senator  Charles  W.  Tobey,  (R. ),  of  New  Hamp¬ 
shire,  is  marking  time  as  he  continues  to  block  the  confirmation 
of  Col.  Thad  Brown,  Republican,  for  reappointment  to  the  Federal 
Communications  Commission  in  the  hope  of  adjournment  of  Congress. 

If  Congress  adjourns,  the  nomination,  of  course,  will  automati¬ 
cally  die  with  the  session.  However,  if  there  is  only  a  recess, 
then  there  is  still  a  chance  for  confirmation. 

Whether  there  will  be  an  adjournment  or  recess  is,  at 
this  writing,  a  question  of  considerable  doubt  although  it  is 
thought  enough  pressure  has  been  brought  to  bear  to  predict  a 
recess.  A  majority  of  Senate  and  House  leaders  want  to  adjourn 
but  the  Republicans  and  many  Democrats  are  against  this,  express¬ 
ing  the  belief  that  the  President  should  not  be  given  too  free  a 
hand  in  the  present  emergency.  One  plan  is  to  recess  until  after 
election,  say,  November  15th. 

In  the  meantime,  no  further  call  has  been  issued  for  a 
meeting  of  the  Senate  Interstate  Commerce  Committee  to  further  con¬ 
sider  the  confirmation  of  Colonel  Brown.  A  majority  of  the  Com¬ 
mittee  would  have  confirmed  him  some  time  ago  but  Senator  Tobey, 
planning  to  have  additional  evidence,  threatened  to  blow  the  roof 
off  the  Senate  if  they  tried  to  Jam  the  thing  through.  Then,  too, 
it  has  been  thought  that  Colonel  Brown' s  name  would  be  withdrawn 
but  at  this  date,  such  has  not  been  the  case. 

xxxxxxxx 


U.  S.  INTERNATIONAL  STATIONS  MULTIPLY 


With  National  Defense  requirements  as  a  stimulant,  there 
is  considerable  activity  among  the  U.  S.  short-wave  stations.  This 
is  indicated  in  the  latest  listings  of  International  Broadcast 
Stations,  showing  the  construction  permits  in  many  cases  to  increase 
the  power.  Those  listed  are  as  follows: 

Columbia  Broadcasting  System,  Inc.:  WCBX,  near  Wayne, 

N.  J.  ,  10  KW,  C.P.,  50  KW;  WCRC,  Brentwood,  N.  Y.  ,  50  KW  (C.P. 
only);  General  Electric  Company:  WGEA,  South  Schenectady,  N.Y. , 

25  KW,  C.P.  50  KW;  WGEO,  South  Schenectady,  N.Y. ,  100  KW; 

KGEI,  San  Francisco,  California,  20  KW,  C.P.  50  KW;  National 
Broadcasting  Co.  ,  Inc. ,  Bound  Brook,  New  Jersey:  WRCA,  35  KW, 

C.P.  50  KW,  WNBI ,  35  KW,-  C.P.  50  KW. 

The  above  list  does  not  include  the  new  short-wave  sta¬ 
tion  being  built  by  Westinghouse  at  Boston  to  take  the  place  of 
that  company's  pioneer  short-wave  station  at  Pittsburgh. 

XXXXXXXXXX 


6 


9/27/40 


DUTCH  RADIOS  FOR  U.S.  RE SHIPMENT  REPORTED 


With  Germany  out  of  the  market  for  the  present,  the 
Netherlands  remains  the  only  competitor  of  the  United  States  in 
the  Dominican  Republic,  Vice  Consul  William  Belton,  of  Ciudad, 
Trujilly,  reports.  It  is  understood  that  large  stocks  of  Dutch 
radios  are  being  held  at  Curacao  for  reshipment  to  the  American 
market,  and  it  is  possible  that  before  this  supply  is  exhausted, 
arrangements  will  have  been  made  to  meet  the  demand  from  Dutch 
owned  factories  in  countries  of  Holland. 

Considering  the  population,  demands  for  radio  sets  in 
the  Dominican  Republic  is  limited.  Customarily,  trade  slacks  off 
during  the  months  previous  to  the  release  of  new  models.  It  is 
estimated  that  approximately  5,000  sets  are  in  use  in  the  Dominican 
Republic.  The  greatest  stimulus  which  radio  sales  have  received 
has  been  the  improvement  of  broadcasting  in  Cuba,  which  transmits 
programs  of  considerable  popularity  locally. 

XXXXXXXXXX 


NATIONAL  TELEVISION  PROGRESS  REPORTED 


The  National  Television  Systems  Committee  is  now  working 
on  the  many  technical  and  commercial  problems  involved.  Progress 
is  reported  already  on  some  of  the  standardization  work,  and  under 
the  chairmanship  of  Dr.  W.  R.  G.  Baker  of  the  General  Electric 
Company,  an  almost  continuous  session  of  meetings,  experiments, 
studies  and  exchange  of  technical  data  has  been  arranged. 

Over  forty  organizations  are  enrolled  in  the  organization 
work  of  NTSC  and  its  nine  panels  or  subcommittees.  Further  meet¬ 
ings  of  the  nine  television  panels  will  be  held  in  New  York  from 
October  1  to  4. 

Of  the  forty  organizations  participating  under  the 
National  Television  Systems  Committee  in  the  enterprise  of  develop¬ 
ing  a  national  television  service,  the  following  research  and 
engineering  organizations  are  represented:  Columbia  University, 
Dartmouth  Medical  School,  Eastmankudal  Company,  Institute  of  Radio 
Engineers,  Massachusetts  Institute  of  Technology,  University  of 
Pennsylvania  and  University  of  Virginia. 

XXXXXXXXX 

A  new  flying  school  radio  station  will  be  installed  by 
the  Lewis  Holy  Name  School  of  Aeronautics,  at  Lockport,  Illinois. 

XXXXXXXXXX 
-  7  - 


MICROPHONE  TRANSFORMS  SLOVENLY  SPEECH  OF  SENATORS 


Senator  Henry  F.  Ashurst, recently  defeated  for  reelec¬ 
tion  from  Arizona,  one  of  the  Senate’s  greatest  orators,  paid  his 
respects  to  the  microphone  as  follows: 

HThe  microphone  -  forever  pushed  in  front  of  the  modern 
Cicero  by  newsreel,  radio,  and  public-address  men  -  may  even  nour¬ 
ish  the  old  art  of  moving  speech”,  Senator  Ashurst  is  quoted  as 
saying.  "The  microphone  has  transformed  many  men  of  sloppy,  snippy, 
slovenly  speech  into  superb  speakers.  In  the  past  15  years  it  has 
made  scores  of  thousands  of  excellent  speakers. 

"The  microphone  has  seemed  to  eliminate  those  great  banes 
of  public  speaking  -  overtone  and  overstatement. 

"Superlatives  in  speech  are  usually  evidences  of  a  weary 
man  or  sometimes  of  an  indolent  man  who  does  not  seek  a  more  nearly 
exact  medium  of  expression. 

"I’ve  long  cultivated  flaming,  brilliant,  rotund,  gorgeous 
sentences",  he  explained.  "But  I  would  advise  speakers  of  this  era 
to  use  short,  lance-like  sentences.  " 

This  new  hard-hitting  manner  is  called  forth,  he  explain¬ 
ed,  by  the  demands  of  the  microphone,  the  need  for  simply  put  speech. 

xxxxxxxx 


ARMSTRONG-  RECEIVES  FM  PATENT 


Dr.  Edwin  H.  Armstrong,  originator  of  present-day  FM 
(frequency  modulation)  broadcasting,  has  received  a  patent  (No. 
2,215,284)  for  an  improved  method  of  FM  transmission  and  reception 
which  is  claimed  to  give  extremely  high  fidelity. 

The  new  system,  as  described  in  the  patent,  permits  trans¬ 
mission  of  the  lowest  to  the  highest  pitched  audible  sounds,  cover¬ 
ing  the  entire  audible  range  from  thirty  to  16,000  cycles.  Present- 
day  radios  operating  on  amplitude-modulated  radio  waves  cover  but 
half  this  range,  the  patent  states. 

In  Dr.  Armstrong’s  new  method  of  FM  broadcasting  and  rec¬ 
eption  the  high-frequency  sounds  of  the  broadcasting  band  are 
amplified  many  times  more  than  the  low-frequency  sounds.  Then  the 
frequency  of  the  wave  to  be  broadcast  is  varied  by  the  amplified 
currents.  This  produces  a  wide  band  of  frequency  variations.  This 
wave  is  broadcast  and  when  picked  up  at  the  receiver  is  amplified. 
The  amplified  currents  are  passed  through  a  detecting  device,  where 
the  frequency  variations  are  converted  into  a  band  of  currents  of 
variable  amplitudes.  By  this  conversion  distortions  which  would 
produce  noises  are  suppressed.  When  both  low-pitched  and  high- 
pitched  sounds  are  reproduced,  free  from  distorting  noises,  they 
go  into  the  microphone  at  the  transmitter. 

XXXXXXXXX  -8- 


9/27/40 


DR.  JEWETT  HEADS  BELL  RESEARCH  BOARD 


Dr.  F.  B.  Jewett,  Vice  President  of  American  Telephone  & 
Telegraph  Co. ,  in  charge  of  research,  this  week  resigned  as  Presi¬ 
dent  of  Bell  Telephone  Laboratories,  Inc. ,  as  of  October  1,  and 
will  become  Chairman  of  the  research  concern's  Board  of  Directors. 

Dr.  0.  E.  Buckley,  Executive  Vice  President  of  the 
Laboratories,  controlled  by  American  Telephone  &  Telegraph,  will 
succeed  Dr.  Jewett  as  President. 


It  hardly  seems  possible  but  the  Bell  Laboratories  Record 
in  West  Street,  New  York  City,  has  been  going  now  for  fifteen  years. 
The  first  issue  appeared  in  September,  1925. 

The  Fall  of  1928  saw  the  announcement  of  the  Laboratories' 
program  for  aircraft  radio  development.  Through  subsequent  years 
descriptions  have  appeared  of  transmitters  and  receivers  which  have 
become  standard  equipment  on  American  airways. 

At  the  present  time  more  than  two  thousand  yachts  and 
coastwise  craft  can  be  connected  by  radio  with  Bell  System  tele¬ 
phones.  This  system  was  described  in  the  Record  for  November, 

1932.  It  supplements  the  ship-to-shore  system  for  passenger 
steamers  whose  initial  installation  on  the  "Leviathan"  was  described 
in  January,  1930. 

Several  entirely  new  Bell  System  services  have  had  their 
inception  within  the  lifetime  of  the  Record.  There  is  the  tele¬ 
typewriter  network,  as  furnished  to  police  and  aeronautical  author¬ 
ities.  There  is  the  teletypewriter  switching  system,  described  in 
January,  1932,  and  now  serving  14,000  stations.  There  are  the 
radio  broadcasting  networks,  carrying  programs  to  hundreds  of  sta¬ 
tions.  There  are  unattended  central  offices,  bringing  dial  service 
to  places  formerly  served  by  magneto  boards.  There  are  secretarial, 
time-of-day,  and  weather  services. 

The  following  articles  appear  in  the  15th  Anniversary 
issue  of  the  Record; 

"The  Nature  of  Organic  Insulating  Materials",  C.  S. 

Fuller; "Six- Way  Directional  Microphone",  W.  R.  Harry;  "New  Voice- 
Frequency  Electrical  Delay  Network",  H.  M.  Thomson;  "Unit  Ventila¬ 
tor",  0.  0.  Eliason;  "Synchronized  FM  Transmitter",  W.  H.  Doherty; 
"Toll  Crossbar  Call-Distributing  System",  J.  Meszar;  "A  Dialing 
Circuit  of  Increased  Range",  F.  K.  Low;  "An  Important  New  Magnetic 
Alloy";  "Magnetic  Ultra-Micrometer",  W.  B.  Ellwood. 

xxxxxxxxx 


9 


9/24/40 


TRADE  NOTES  : : 


The  Commission  on  September  24,  1940,  estended  to  March 
29,  1941,  the  effective  date  of  Section  3.32(b)  of  the  Rules  Govern¬ 
ing  Standard  Broadcast  Stations. 


Appointment  of  Milton  Seiner,  who  for  15  years  has  been 
connected  with  the  Music  Department  of  Station  WLW,  Cincinnati, 
as  General  Manager  of  Music  and  Associated  Activities  of  that  sta¬ 
tion,  has  been  announced  by  James  D.  Shouse,  Vice  President  of  The 
Crosley  Corporation  in  Charge  of  Broadcasting. 


American  radio  newsmen  in  London  are  sleeping  in  the 
British  Broadcasting  Corporation’s  studios  frequently  these  days 
to  avoid  being  on  the  streets  during  air  raids,  reports  John 
Steele,  WCR- Mutual  London  commentator  and  chief  of  the  MBS  foreign 
staff.  Mr.  Steele  adds  that  the  danger  of  falling  steel  fired  from 
British  anti-aircraft  batteries  adds  to  the  perils  of  life  in  London. 


Says  Leonard  Lyons  in  his  "New  Yorker"  column:  "This  is 
why  Charles  Michel son  is  conferring  with  the  radio  chains  now:  The 
G.  O.P.  claimed  that  the  President’s  Chickamauga  Dam  speech,  which 
lasted  22  minutes,  was  political.  The  radio  stations,  therefore, 
gave  Willkie  free  time,  for  his  Coffeyville  speech  -  but  that  last¬ 
ed  57  minutes.  Michelson  now  demands  35  minutes  free  time  for  the 
New  Deal."  This  was  addressed  to  "Radio  Daily". 


KDKA’s  pack  transmitter  is  still  being  packed  around. 
WBZ-WBZA  borrowed  it  in  August  for  a  broadcast  from  a  blimp  at 
Boston,  and  nearly  lost  it  when  a  storm  hit  the  blimp  just  as  it 
was  taking  off.  It  came  back  to  Pittsburgh  for  two  more  aerial 
broadcasts,  and  has  now  been  shipped  to  KYW  in  Philadelphia  for 
another  special  event. 


Congress  is  completing  action  on  the  National  Defense 
revenue  legislation  and  promptly  after  enactment,  copies  of  the 
new  law  relating  to  tax  rates  of  corpora tions,  including  excess 
profits,  amortization  and  other  provisions  will  be  issued.  In  the 
recent  final  hearings  by  the  Senate  Finance  Committee,  tax  modifi¬ 
cation  provisions  recommended  by  the  Radio  Manufacturers’  Associa¬ 
tion  were  presented  in  cooperation  with  National  Association  of 
Manufacturers  and  the  U.  S.  Chamber  of  Commerce. 

XXXXXXXX 


10  - 


9/27/40 


DEVELOPS  FM  H  T  RAN  SLAT  OR’1  FOR  OLD  SETS 


A  new  frequency  modulation  "translator " ,  by  the  use  of 
which  the  owner  of  a  conventional  or  present-type  amplitude  modu¬ 
lation  radio  receiver  can  pick  up  the  new  FM  broadcast  programs, 
has  been  developed  by  the  Radio  Department  of  General  Electric. 

Used  in  conjunction  with  the  present-type  receiver,  it  brings  in 
the  high  fidelity  and  relatively  static- free  FM  programs,  thus 
protecting  an  owner’s  investment  in  radio  equipment  he  now  has. 

The  translator  sells  at  $49.95.  Housed  in  a  walnut 
cabinet  standing  9  inches  high,  15^  inches  wide,  and  about  8  inches 
deep,  is  provided  with  a  shielded  cable  for  connection  to  a  con¬ 
ventional  radio.  Terminals  are  located  at  the  rear  of  the  cabinet 
for  antenna  and  ground  connections.  A  soecial  dipole  antenna  is 
recommended  for  best  results,  although  in  many  locations  an 
ordinary  antenna  will  operate  satisfactorily.  The  translator  has 
its  own  dial  scale,  with  a  tuning  range  of  42  to  50  megacycles,  and 
six  tuning  keys  convenient3.y  located  below  the  illuminated  dial. 

A  plug-in  connector  on  the  back  of  the  translator  chassis 
permits  easy  attachment  of  a  television  picture  receiver.  A  wired- 
type  of  record  player  may  also  be  used  in  conjunction  with  the 
translator.  These  two  features  are  provided  so  that  either  of  the 
other  two  uses  to  which  an  ordinary  modern  radio  is  put  -  televi¬ 
sion  sound  or  record  playing  -  can  be  carried  on  just  as  always 
despite  the  fact  that  the  FM  translator  is  connected  permanently 
into  the  parent  set.  A  manual  control  to  facilitate  such  operation 
is  supplied  on  the  face  of  the  small  cabinet. 

XXXXXXXX 

RETAIL  SALES  SPURT  TO  10,000,000  SETS 

Retail  sales  of  radio  sets  throughout  the  country  are 
running  a  good  20  percent  ahead  of  a  year  ago,  distributors  in 
New  York  reported,  and  volume  for  the  year  as  a  whole  will  mark  up 
a  new  record,  probably  well  in  excess  of  10,000,000  sets.  While 
table  models  continue  to  lead,  there  is  a  larger  demand  for  phono¬ 
graph  combinations  and  the  average  unit  sale  is  beginning  to 
increase  steadily.  The  war  and  the  presidential  campaigns  are  the 
chief  reasons  for  the  greater  demand,  plus  the  fact  that  the  cheap¬ 
er  table  models,  which  have  now  been  in  vogue  for  several  years, 
are  replaced  more  rapidly  than  the  consoles. 

Confirming  this  trend  was  a  statement  by  Charles  Robbins, 
General  Manager  of  the  Emerson  Radio  &  Phonograph  Company,  who  said 
radio  sales  will  reach  a  new  all-time  high  this  Fb.ll  and  Winter. 

XXXXXXXXXX 


11  - 


9/27/40 


FM  RADIO  GOAL  100,000  FOR  1941 


Radio  set  manufacturers  have  set  a  sales  goal  of  at 
least  100,000  frequency  modulation  receivers  for  1941,  and  are 
confident  that  volume  will  pass  this  mark,  if  stations  get  into 
operation  rapidly,  according  to  the  New  York  Times.  So  far  there 
are  only  five  sets  on  the  market  but  within  another  month  or  two, 
fourteen  manufacturers  will  have  models  available  in  those  areas 
covered  by  FM  broadcasting. 

"The  chief  difficulty  faced  in  the  promotion  of  FM  sets 
is  that  they  are  considerably  higher  than  the  average  set  sold 
today  and  an  educational  campaign  is  needed  to  impress  the  public 
with  FM  superiority  over  the  standard  amplitude  modulation  broad¬ 
casting",  the  Times  goes  on  to  say. 

"FM  sets  range  in  price  from  about  $150  up,  whereas  the 
average  unit  sale  this  year  of  AM  sets  is  between  $30  and  $35. 
Total  sales  of  standard  sets  this  year  will  probably  exceed 
10,000,000.  Last  year  the  number  was  about  9,200,000,  of  which 
approximately  two-thirds  comprised  the  cheaper  table  models. 
Phonograph  radio  combinations  reached  a  new  high  last  year  with 
about  500,000  sold  and  this  year  the  figure  is  expected  to  be 
pushed  up  to  600,000  units.  " 

xxxxxxxx 


COLUMBIA  AGAIN  ENTERS  PHONOGRAPH  INDUSTRY 


The  Columbia  Recording  Corporation  has  entered  the  phono¬ 
graph  field  and  will  market  two  models.  At  one  time  the  name 
Columbia  was  associated  with  a  leading  phonograph  manufacturing 
company  and  since  that  time  has  gone  through  the  process  of  being 
absorbed  into  a  radio  network,  reappearing  as  an  important  producer 
of  records  and  finally  back  to  its  original  field,  phonographs. 

Columbia  will  not  make  the  machines,  however,  the  produc¬ 
er  being  an  "important  radio  manufacturer".  Two  models  are  offered 
a  portable  at  $35  and  a  table  model  at  $69.50. 

XXXXXXXX 


12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 

a# 

,  A' 


vv«s?5^#' 


’■'V 


*  # 


ft** 


INDEX  TO  ISSUE  OF  OCTOBER  1,  1940 


Would  Tax  Radio  Profits  For  National  Defense . 2 

Coughlin  Silencing,  Station’s  Own  Action . 4 

Richmond  Time s-Di spat ch  Cancels  Station  Application . 4 

Army  Enlisting  -  Old  Style  And  New . 5 

Frank  Russell  And  Miss  Gale  Wed . 5 

ASCAP  Charges  Chain  Muzzling  In  S.  F . 6 

To  Celebrate  Twenty  Years  Of  Radio  Progress . 7 

Radio  Suggested  By  Educators  In  Defense . 7 

Radio  Exports  Of  July . 8 

Contends  Radio  Increases  Newspaper  Reading . 8 

Trade  Notes . 9 

Apparent  I.T.  &  T.  Drop  Caused  By  U.  S.  Dollar  Decrease . 10 

G.  E.  Steams  Up  For  50  KW  FM  Station . 10 

Winchell  Freed  On  Radio  Charge . 10 

Barred  From  Using  Remington  Name . 11 

Attorneys’  Applications  Approved . 11 

NBC  International  Stations  Boom . 12 


No.  1270 


October  1,  1940 


WOULD  TAX  RADIO  PROFITS  FOR  NATIONAL  DEFENSE 


Suggested  by  the  need  of  the  Government  to  secure 
additonal  and  necessary  revenues  and  to  oay  the  cost  of  National 
Defense,  Representative  Lawrence  J.  Connery,  ( D. ) ,  of  Massachusetts 
suggested  a  tax  on  radio  breadcasting  profits. 

"It  is  my  belief  that  our  tax  experts  might  well  compare 
the  yearly  profits  which  have  accrued  to  this  govemmentally 
promoted  radio  monopoly",  Representative  Connery  set  forth  in  an 
extension  of  remarks  in  the  Congressional  Record,  "considering 
the  small  amount  of  cash  actually  invested,  with  the  meager  profits 
of  its  advertising  competitor,  our  free  press,  our  newspapers,  and 
magazines.  " 


Mr.  Connery  included  in  his  remarks  the  recent  speech  of 
John  B.  Haggerty,  President  of  the  International  Allied  Printing 
Trades  Associations,  which  characterized  radio  advertising  as  the 
Frankenstein  of  the  printed  publications. 

"It  is  well  to  bear  in  mind  that  licenses  for  radio 
broadcasting  stations  are  issued  wholly  within  the  discretion  of 
the  Federal  Communications  Commission",  the  Congressman  pointed  out 
"and  are  authorized  by  the  Congress  provided  that  the  holders  of 
such  licenses  presumably  serve  public  interest.  These  licenses, 
or  governmental  franchises,  are  issued  without  the  payment  to  the 
Government  of  even  the  proverbial  penny  even  in  these  days  when 
the  need  of  Government  revenue  is  greater  than  ever. 

"Yet  the  Congressional  Record  is  replete  with  citations, 
in  the  official  reports  of  the  Federal  Communications  Commission, 
wherein  the  holders  of  these  licenses  of  governmental  franchises 
have  sold  this  governmental  property  for  sums  ranging  into  the 
millions  of  dollars. 

"A  free  press  is  widely  recognized  as  one  of  the  real 
bulwarks  of  a  free  democracy.  The  press  ofAmerica  is  free  because 
it  is  beholden  to  no  governmental  power  or  no  one  or  few  groups 
of  individuals.  . . 

"For  years  we  managed  to  get  along  without  radio  broad¬ 
casting,  while  I  doubt  if  our  Nation  and  our  people  would  be  as 
well  off  today  had  we  not  had,  since  prior  to  the  founding  of  our 
country,  a  free  and  militant  press.  In  passing,  I  might  add  it 
is  not  my  desire  to  in  any  way  cripple  or  hinder  the  radio  broad¬ 
casting  industry.  That  industry,  as  does  the  theater,  as  well  as 
the  press,  furnishes  information  and  pleasure  to  many  millions  of 
our  people.  " 

-  2  - 


10/1/40 


Expressing  the  doubt  that  any  newspapers  or  magazines 
could  show  profits  averaging  even  10  percent  on  the  actual  invest¬ 
ment  during  the  past  10  years,  Representative  Connery  continued, 
in  part,  as  follows: 

"Recently,  the  Monopoly  Investigating  Committee  of  the 
Federal  Communications  Commission  reported,  after  an  exhaustive 
2-year  study,  that  these  two  radio  monopolists  during  the  past  12 
years  of  their  existence  had  received  in  net  earnings,  after  the 
payment  of  taxes  and  all  other  necessary  expenses,  a  total  of  some 
$45,000,000  on  total  cash  investments,  at  the  most,  of  less  than 
$4, 000,000,  a  yearly  average,  for  each  of  the  past  12  years,  of 
almost  100  percent  in  net  profits  on  their  actual  investments. 

"For  the  information  of  those  interested,  I  quote  from 
the  Summary  and  Conclusions  of  the  Federal  Communications  Commis¬ 
sion  Committee  Investigating  Radio  Monopoly  the  following  excerpts: 

"’’The  net  earnings  of  Columbia,  during  the  12-year  period 
of  its  existence,  have  been  $22, 522, 471.  Of  this  amount 
$16,872,863  (more  than  13  times  all  cash  ever  paid  into  the 
corporation)  has  been  paid  to  its  shareholders  in  dividends; 
the  remainder  is  invested  largely  in  current  assets.  The 
net  earnings  for  Columbia  for  1938  were  in  the  amount  of 
$3,541,741.  « 

"And,  from  another  page,  referring  to  the  National  Broad¬ 
casting  Co.  ,  I  quote : 

"’The  total  earnings  (net)  during  the  period  of  its 
existence  (12  years)  have  been  $22,319,833.  Since  it  began 
paying  dividends  in  1934  (6  years  ago),  it  has  paid  to  its 
parent  company  $18,100,000  (cash  dividends  of  $14,900,000, 
lease  negotiations  fees  of  $2,200,000,  and  research  and 
development  fees  of  $1,000,000) . 

"'The  earnings  (net)  for  National  for  1938  were  in  the 
amount  of  $3,434,301.’  . 

"The  total  capitalization  of  National  Broadcasting  Co.  , 
as  shown  by  the  report  of  the  Federal  Communications  Commission, 
was  never  greater  than  $3,300,000.  This  makes  a  total  actual  cash 
investment  in  both  companies  of  $3,784,307,  on  which  net  earnings 
during  the  past  12  years  have  amounted  to  some  $45,000,000.  " 

"Newspapers  and  magazines  provide  profitable  employment, 

I  understand,  for  well  over  100,000  highly  skilled  American  workers, 
the  weekly  wages  of  which  will  probably  average  close  to  $50  per 
week  or  some  $2,600  per  year.  On  the  other  hand,  it  is  my  under¬ 
standing  that  the  radio  broadcasting  industry,  as  represented  by 
some  705  radio  stations  officially  reporting  to  the  Federal  Com¬ 
munications  Commission,  provides  steady  employment  for  some  11,000 
workers,  at  an  average  weekly  wage  of  less  than  $30  per  week,  other 
than  some  2,600  musicians  and  artists  who  receive  an  average  of  $46 
per  week,  plus  an  additional  1,000  workers,  on  part  time,  who 
average  some  $15  per  week  and  some  2,350  musicians  and  artists,  on 
part  time,  who  average  some  $18  per  week. 

xxxxxxxx 

-  3  - 


October  1,  1940 


WOULD  TAX  RADIO  PROFITS  FOR  NATIONAL  DEFENSE 


Suggested  by  the  need  of  the  Government  to  secure 
additonal  and  necessary  revenues  and  to  oay  the  cost  of  National 
Defense,  Representative  Lawrence  J.  Connery,  ( D. ) ,  of  Massachusetts 
suggested  a  tax  on  radio  broadcasting  profits. 

"It  is  my  belief  that  our  tax  experts  might  well  compare 
the  yearly  profits  which  have  accrued  to  this  govemmentally 
promoted  radio  monopoly",  Representative  Connery  set  forth  in  an 
extension  of  remarks  in  the  Congressional  Record,  "considering 
the  small  amount  of  cash  actually  invested,  with  the  meager  profits 
of  its  advertising  competitor,  our  free  press,  our  newspapers,  and 
magazines.  " 


Mr.  Connery  included  in  his  remarks  the  recent  speech  of 
John  B.  Haggerty,  President  of  the  International  Allied  Printing 
Trades  Associations,  which  characterized  radio  advertising  as  the 
Frankenstein  of  the  printed  publications. 

"It  is  well  to  bear  in  mind  that  licenses  for  radio 
broadcasting  stations  are  issued  wholly  within  the  discretion  of 
the  Federal  Communications  Commission",  the  Congressman  pointed  out 
"and  are  authorized  by  the  Congress  provided  that  the  holders  of 
such  licenses  presumably  serve  public  interest.  These  licenses, 
or  governmental  franchises,  are  issued  without  the  payment  to  the 
Government  of  even  the  proverbial  penny  even  in  these  days  when 
the  need  of  Government  revenue  is  greater  than  ever. 

"Yet  the  Congressional  Record  is  replete  with  citations, 
in  the  official  reports  of  the  Federal  Communications  Commission, 
wherein  the  holders  of  these  licenses  of  governmental  franchises 
have  sold  this  governmental  property  for  sums  ranging  into  the 
millions  of  dollars. 

"A  free  press  is  widely  recognized  as  one  of  the  real 
bulwarks  of  a  free  democracy.  The  press  ofAmerica  is  free  because 
it  is  beholden  to  no  governmental  power  or  no  one  or  few  groups 
of  individuals . 

"For  years  we  managed  to  get  along  without  radio  broad¬ 
casting,  while  I  doubt  if  our  Nation  and  our  people  would  be  as 
well  off  today  had  we  not  had,  since  prior  to  the  founding  of  our 
country,  a  free  and  militant  press.  In  passing,  I  might  add  it 
is  not  my  desire  to  in  any  way  cripple  or  hinder  the  radio  broad¬ 
casting  industry.  That  industry,  as  does  the  theater,  as  well  as 
the  press,  furnishes  information  and  pleasure  to  many  millions  of 
our  people .  " 

-  2  - 


10/1/40 


Expressing  the  doubt  that  any  newspapers  or  magazines 
could  show  profits  averaging  even  10  percent  on  the  actual  invest¬ 
ment  during  the  past  10  years,  Representative  Connery  continued, 
in  part,  as  follows: 

"Recently,  the  Monopoly  Investigating  Committee  of  the 
Federal  Communications  Commission  reported,  after  an  exhaustive 
2-year  study,  that  these  two  radio  monopolists  during  the  past  12 
years  of  their  existence  had  received  in  net  earnings,  after  the 
payment  of  taxes  and  all  other  necessary  expenses,  a  total  of  some 
$45, 000,000  on  total  cash  investments,  at  the  most,  of  less  than 
$4,000,000,  a  yearly  average,  for  each  of  the  past  12  years,  of 
almost  100  percent  in  net  profits  on  their  actual  investments. 

"For  the  information  of  those  interested,  I  quote  from 
the  Summary  and  Conclusions  of  the  Federal  Communications  Commis¬ 
sion  Committee  Investigating  Radio  Monopoly  the  following  excerpts: 

",!The  net  earnings  of  Columbia,  during  the  12-year  period 
of  its  existence,  have  been  $22,522,471.  Of  this  amount 
$16,872,863  (more  than  13  times  all  cash  ever  paid  into  the 
corporation)  has  been  paid  to  its  shareholders  in  dividends; 
the  remainder  is  invested  largely  in  current  assets.  The 
net  earnings  for  Columbia  for  1938  were  in  the  amount  of 
$3,541,741.  ' 

"And,  from  another  page,  referring  to  the  National  Broad¬ 
casting  Co.  ,  I  quote : 

"’The  total  earnings  (net)  during  the  period  of  its 
existence  (12  years)  have  been  $22,319,833.  Since  it  began 
paying  dividends  in  1934  (6  years  ago),  it  has  paid  to  its 
parent  company  $18,100,000  (cash  dividends  of  $14,900,000, 
lease  negotiations  fees  of  $2,200,000,  and  research  and 
development  fees  of  $1,000,000) . 

"'The  earnings  (net)  for  National  for  1938  were  in  the 
amount  of  $3,434,301.'  . 

"The  total  capitalization  of  National  Broadcasting  Co.  , 
as  shown  by  the  report  of  the  Federal  Communications  Commission, 
was  never  greater  than  $3,300,000.  This  makes  a  total  actual  cash 
investment  in  both  companies  of  $3,784,307,  on  which  net  earnings 
during  the  past  12  years  have  amounted  to  some  $45,000,000. " 

"Newspapers  and  magazines  provide  profitable  employment, 

I  understand,  for  well  over  100,000  highly  skilled  American  workers, 
the  weekly  wages  of  which  will  probably  average  close  to  $50  per 
week  or  some  $2,600  per  year.  On  the  other  hand,  it  is  my  under¬ 
standing  that  the  radio  broadcasting  industry,  as  represented  by 
some  705  radio  stations  officially  reporting  to  the  Federal  Com¬ 
munications  Commission,  provides  steady  employment  for  some  11,000 
workers,  at  an  average  weekly  wage  of  less  than  $30  per  week,  other 
than  some  2,600  musicians  and  artists  who  receive  an  average  of  $46 
per  week,  plus  an  additional  1,000  workers,  on  part  time,  who 
average  some  $15  per  week  and  some  2,350  musicians  and  artists,  on 
part  time,  who  average  some  $18  per  week. 

xxxxxxxx 


10/1/40 


COUGHLIN  SILENCING,  STATION'S  OH  ACTION 


According  to  a  statement  made  by  the  National  Association 
of  Broadcasters,  a  portion  of  which  follows,  broadcasting  stations 
throughout  the  country  acted  upon  their  own  accord  in  silencing 
Father  Coughlin: 

"As  you  know,  Father  Coughlin  announced  last  week  that 
he  would  not  conduct  his  weekly  broadcasts  this  year  because  of 
his  inability  to  secure  an  adequate  number  of  radio  stations.  He 
accused  men  'powerful  in  radio  and  in  other  fields'  for  his  failure 
to  line  up  the  stations. 

"The  inability  of  Father  Coughlin  to  line  up  stations, 
of  course,  was  a  result  of  the  voluntary  adherence  to  the  NAB  Code 
by  the  stations  themselves.  With  the  exception  of  the  Code  Com¬ 
mittee  statement  by  Edgar  Bill  relative  to  the  status  of  his  pro¬ 
posed  political  broadcasts,  there  has  not  been  a  single  letter, 
phone  call  or  contact  made  with  any  station  by  NAB  headquarters 
about  the  matter.  The  action  radio  stations  took  was  their  own, 
and  marks  a  real  milestone  in  self-regulation. " 

xxxxxxxxx 


RICHMOND  TIMES- DISPATCH  CANCELS  STATION  APPLICATION 


The  following  order  has  been  issued  by  the  Federal 
Communications  Commission: 

"At  a  session  of  the  Federal  Communications  Commission 
held  at  its  offices  in  Washington,  D.  C. ,  on  the  24th  day  of 
September,  1940,  it  appearing  to  the  Commission  that  the  Times- 
Dispatch  Radio  Corporation  has  surrendered  for  cancellation  the 
license  heretofore  issued  to  it  authorizing  the  operation  of  WRTD, 
Richmond,  Virginia,  and  has  requested  dismissal  of  the  above- 
described  application; 

"It  is  ordered,  That  said  application  for  construction 
permit  be,  and  it  is  hereby,  dismissed. " 

xxxxxxxxxx 

Now  is  the  time  to  put  up  that  new  antenna  system. 

Before  the  rains  come  and  the  roofs  get  covered  with  snow,  people 
should  think  about  putting  up  an  aerial. 

XXXXXXXXXX 


-  4  - 


10/1/40 


ARMY  ENLISTING  -  OLD  STYLE  AND  NEW 


It  was  a  coincidence  that  on  the  same  page  of  a  newspaper 
last  week  there  were  stories  telling  how  two  men  prominent  in  the 
radio  industry  had  enlisted  in  the  United  States  Army. 

One  of  them  was  Elliott  Roosevelt,  a  Texas  radio  station 
operator,  who  applied  direct  to  General  Arnold,  Chief  of  Army 
Aviation,  and  whose  commission  as  a  Captain  in  non-flying,  non- 
combatant  branches  of  the  air  force  has  created  such  caustic  com¬ 
ment. 

In  striking  contrast  to  the  way  the  President's  son 
went  about  securing  himself  a  commission,  was  the  other  newspaper 
article  which  told  how  Gen.  James  G.  Harbord,  Chairman  of  the 
Board  of  the  Radio  Corporation  of  America,  had  begun  his  Amy 
career  by  enlisting  as  a  private. 

"That  was  a  good  many  years  ago",  General  Harbord  was 
quoted  as  saying,  "but  if  I  had  to  do  the  thing  over,  Ifd  do  it 
in  exactly  the  same  way. "  General  Harbord,  who  was  Chief  of  Staff 
to  General  Pershing  in  France  and  who  commanded  the  Marine  Brigade 
at  Chateau  Thierry  strongly  urged  the  young  men  of  today  to  enlist 
as  he  did. 

xxxxxxxx 


FRANK  RUSSELL  AND  MISS  GALE  WED 


Stealing  a  march  on  their  friends  in  the  Capital,  Frank  M. 
Russell,  Washington  Vice-President  of  the  National  Broadcasting 
Company,  and  Miss  Marian  Phebe  Gale,  NBC  Washington  Publicity 
Director,  were  married  last  week  in  New  York.  The  wedding  took 
place  at  the  home  of  Niles  Trammell,  President  of  NBC. 

Mr.  Trammell  was  best  man  and  Mrs.  Trammell  the  matron 
of  honor.  Others  present  included  Frank  Mullen,  NBC  Vice-Presi¬ 
dent  and  General  Manager,  and  Mrs.  Mullen;  Mr.  and  Mrs.  M.  H. 
Aylesworth;  Mr.  and  Mrs.  Edwin  W.  Craig  (WSM,  Nashville);  Mark 
Woods,  NBC  Vice-President  and  Treasurer,  and  Mrs. Woods:  Sid 
Strotz,  NBC  Chicago  Vice-President,  and  Dr.  Frank  Black,  NBC 
Vice-President  and  Musical  Director,  who  played  the  organ. 

XXXXXXXX 

The  Hawaiian  Broadcasting  System,  Ltd. ,  at  Honolulu 
kas  applied  for  a  new  broadcast  station,  under  the  North  American 
Regional  Agreement,  to  be  operated  on  1340  kilocycles,  250  watts, 
unlimited  time. 

XXXXXXXXXX 
-  5  - 


10/1/40 


ASCAP  CHARGES  CHAIN  MUZZLING  IN  S.  F. 


Declaring  that  Carrie  Jacobs  Bond,  Charles  Wakefield 
Cadman,  Deems  Taylor,  Irving  Berling,  George  M.  Cohan,  Jerome 
Kern,  Gene  Buck,  the  San  Francisco  Symphony  Orchestra,  Tony  Martin, 
Judy  Garland,  and  about  50  other  celebrities  who  participated  in 
the  Music  Festival  at  the  San  Francisco  World' s  Fair  were  barred 
from  the  air  last  week,  the  American  Society  of  Composers  declared 
that  complaint  would  be  made  to  the  Federal  Communications  Com¬ 
mission  in  Washington. 

"The  action  at  San  Francisco  was  the  opening  gun  in  the 
battle  of  the  rain  chains  to  drive  members  of  the  American  Society 
of  Composers,  Authors  and  Publishers  off  the  air  starting  New 
Year's  Day",  an  ASCAP  account  stated.  "Chain  spokesmen  hinted  that 
the  incident  was  just  a  mild  sample  of  what  ASCAP  composers  and 
authors  may  expect  unless  they  accept  the  terms  of  the  radio 
chains  for  the  use  of  their  music. 

"The  World's  Fair  Music  Festival  was  staged  for  the  pur¬ 
pose  of  presenting  a  cavalcade  of  American  compositions  devoted  to 
American  operatic,  symphonic  and  other  unforgettable  music  of  the 
past  and  present,  and  to  pay  tribute  to  Victor  Herbert,  John 
Philip  Sousa,  George  Gershwin  and  others.  ASCAP  was  invited  to 
present  the  festival.  In  response  to  this  invitation,  Gene  Buck, 
President  of  the  Society,  assembled  an  imposing  list  of  prominent 
composers  in  San  Francisco." 

"Ordinarily  the  radio  chains  would  have  fought  for  the 
privilege  of  broadcasting  such  a  star-studded  program  especially 
since  the  services  of  all  artists  were  offered  gratis.  In  this 
case,  however,  the  Columbia  Broadcasting  System,  National  Broad¬ 
casting  Company  and  Mutual  Broadcasting  System  each  flatly  refused 
the  request  of  the  Fhir  authorities  to  let  the  musical  event  go  on 
the  air.  As  a  consequence  the  festival  was  heard  only  by  those 
actually  present  at  the  Fair  and  was  denied  to  radio  listeners 
throughout  the  country. 

"Station  KFWB,  Los  Angeles,  operated  by  Warner  Bros. 
Pictures,  volunteered  to  broadcast  the  Festival  on  the  Pacific 
Coast,  but  were  unable  to  secure  the  necessary  physical  facilities 
and  cooperation  from  the  chains. 

"Astounded  at  the  action  of  the  chains  in  not  only  muzzl¬ 
ing  the  composers  and  artists  but  also  depriving  the  public  of  a 
rare  musical  treat,  a  committee  of  World's  Fair  officials  and  com¬ 
posers  is  understood  to  be  planning  a  special  trip  to  Washington 
to  file  a  formal  complaint  with  the  Federal  Communications  Commis¬ 
sion.  It  is  charged  that  the  chains,  in  boycotting  the  Musical 
Festival,  have  violated  an  important  FCC  regulation  requiring 
broadcasters  to  operate  'in  the  public  interest'." 


-f  •  ?  .'tf 


■ :  2-i 


10/1/40 


Gene  Buck  said: 

"The  radio  chains  have  usurped  control  of  the  air. 

Today  they  have  given  the  public  a  perfect  illustration  of  their 
monopoly.  We  will  challenge  that  monopoly  by  every  legal  means 
at  our  command.  " 

John  G.  Paine,  General  Manager  of  ASCAP,  stated: 

"This  is  part  of  a  carefully  conceived  campaign  by  the 
radio  chains  to  dominate  all  phases  of  broadcasting.  By  ruth¬ 
lessly  boycotting  the  works  of  our  composers  and  authors,  they 
can  force  the  use  of  music  put  out  by  their  subsidized  music  firm, 
BMI,  and  thus  make  their  monopoly  of  the  air  complete.  " 

XXX  XXXXXXX 


TO  CELEBRATE  TWENTY  YEARS  OF  RADIO  PROGRESS 


With  November,  1940,  radio  completes  20  years  of  miracu¬ 
lous  progress  -  20  years  that  have  changed  the  habits  of  the  nation 
and  put  some  52  million  radio  sets  into  American  homes  and  autos. 

To  mark  this  20th  Milestone  of  Radio,  a  group  of  leaders 
in  the  radio  industry,  led  by  0.  H.  Caldwell,  Editor  of  Radio 
Today ,  has  suggested  that  the  entire  month  of  November  be  devoted 
to  a  Radio  Industry  celebration,  to  be  shared  in  by  broadcasters, 
radio  manufacturers,  distributors,  dealers  and  servicemen.  They 
would  have  radio  stores,  radio  stations  and  all  radio  centers  take 
part  in  this  great  industry  promotion,  coming  just  before  Christmas. 

XXXXXXXXXX 


RADIO  SUGGESTED  BY  EDUCATORS  IN  DEFENSE 


For  schools  which  accept  as  their  role  in  the  present 
crisis  not  merely  passive  acceptance  of  this  statement,  but  posit¬ 
ive  action,  the  Commission  (Educational  Policies  Commission)  sug¬ 
gests  the  following  steps: 

"Appoint  a  committee  to  engage  all  local  educative  and 
public  opinion  forming  agencies  in  a  unified  program  for  the 
defense  of  democracy.  Organize  discussion  groups  to  aid  adults 
to  reach  sound  conclusions  on  the  urgent  questions  of  national 
policy.  Revitalize  the  citizenship  teaching  in  the  school.  Secure 
the  cooperation  of  the  newspapers  in  advancing  the  whole  program. 
Use  the  radio  to  dramatize  the  American  struggle  for  self-determi¬ 
nation.  " 


XXXXXXXXXX 


7 


10/1/40 


RADIO  EXPORTS  OF  JULY 


Exports  of  American  radio  last  July  totaled  $1,498,310, 
according  to  the  latest  report  of  the  U.  S.  Bureau  of  Foreign  and 
Domestic  Commerce.  This  was  a  decrease  of  11.2  percent  from  the 
corresponding  month  of  July,  1939,  of  $1,686,714.  Radio  exports 
in  July,  1940,  were  only  slightly  below  the  total  of  June  of  this 
year  which  were  $1,601,675. 

The  number  of  receiving  sets  exported  in  July  numbered 
32,367,  valued  at  $670,169,  as  against  July,  1939,  exports  of 
35,998,  valued  at  $618,890. 

Tube  exports  in  July  numbered  409,934,  valued  at 
$137,258,  compared  with  July,  1939  exports  of  607,160  tubes,  valued 
at  $245,065. 

Parts  and  accessory  exports  in  July  totaled  $391,670 
as  compared  with  July,  1939,  exports  of  $472,325. 

The  number  of  radio  speakers  exported  in  July  numbered 
29,535,  valued  at  $32,294  as  compared  with  44,219,  valued  at 
$69,587  in  July,  1939.  Transmitting  apparatus  exported  was  valued 
at  $266,919  as  against  $280,847  in  July,  1939. 

xxxxxxxxxx 


CONTENDS  RADIO  INCREASES  NEWSPAPER  READING 


Radio  fosters  reading  of  newspapers  and  as  the  educational, 
cultural,  and  economic  level  rises,  the  amount  of  radio  listening 
declines. 


That’s  the  principal  conclusion  of  a  survey  of  radio’s 
role  in  the  communication  of  ideas,  a  survey  conducted  by  the  Office 
of  Radio  Research,  Columbia  University,  and  financed  by  the  Rocke¬ 
feller  Foundation. 

Other  noteworthy  points  made  by  Paul  F.  Lazarsfeld,  Dir¬ 
ector  of  the  Office  of  Radio  Research,  in  his  new  book  "Radio  and 
the  Printed  Page ,r  (published  by  Due  11,  Sloan  &  Pearce,  $4)  which 
details  the  findings  of  the  survey  are:  That  radio  newscasting 
increases,  instead  of  diminishing,  interest  in  reading  newspapers. 
That  those  who  depend  on  the  newspaper  for  their  news  are  more 
interested  in  news  than  those  who  depend  on  the  radio.  That  serious 
and  educational  programs  are  listened  to  primarily  by  those  who 
have  the  least  need  for  further  education  and  information,  shunned 
by  those  whom  they  are  intended  to  educate  and  inform. 

XXXXXXXX 
-  8  - 


10/1/40 


TRADE  NOTES 


The  Cleveland  City  Board  of  Education  has  been  granted 
authority  by  the  Federal  Communications  Commission  to  change  that 
school  system's  non-commercial  education  radio  service  from 
amplitude  modulation  to  frequency  modulation. 


The  Government  of  Brazil  is  sponsoring  a  series  of  radio 
broadcasts  to  United  States  listeners,  presenting  Drew  Pearson  and 
Robert  S.  Allen,  nationally  known  columnists  and  commentators,  in 
a  weekly  radio  edition  of  "Washington  Merry-Go-Round".  The  program 
is  patterned  after  the  Pearson  and  Allen  syndicated  column  with  the 
addition  of  news  and  comment  on  Brazilian  affairs.  It  is  heard 
over  an  8-station  NBC  Blue  Network  from  7:00  to  7:15  P.M. ,  EST, 
Sunday  nights. 


Two  more  utilities  have  ordered  FM  emergency  communica¬ 
tions  systems  from  the  General  Electric  Co.  -  the  San  Antonio 
Public  Service  Company,  San  Antonio,  Texas,  and  the  San  Diego  Gas 
and  Electric  Company,  San  Diego,  Calif. 


Evansville  on  the  Air,  Inc.,  at  Evansville,  Ind. ,  is 
operating  a  "walkie  talkie"  portable  radio  set  used  by  the  Indiana 
National  Guard  to  transmit  a  recruiting  program  in  connection  with 
National  Guard  Week  broadcast  by  Stations  WEOA  and  WGBF,  Evansville 


Station  WIZE,  Springfield,  Ohio,  becomes  an  affiliate  of 
the  National  Broadcasting  Company,  effective  November  1,  or  at  such 
earlier  date  as  the  station  commences  regular  operation,  announces. 
WIZE  becomes  a  bonus  outlet  to  advertisers  using  the  facilities  of 
Station  WING,  Dayton,  Ohio. 


The  No-Bel  Radio  Burglar  Alarm  Company  of  Oakland,  Calif, 
will  be  given  a  further  hearing  by  the  Federal  Communications  Com¬ 
mission  with  regard  to  application  for  stations  at  Oakland  and 
San  Francisco. 


The  General  Motors  Research  Division  has  been  granted 
temporary  authority  by  the  Federal  Communications  Commission  to 
install  an  aircraft  radio  station  aboard  NX-25463  with  10  watts 
power  and  3105  kilocycles. 

XXXXXXXXXX 


9 


lo/i,;  40 


APPARENT  I.T.&  T.  DROP  CAUSED  BY  U.  S.  DOLLAR  DECREASE 


In  hie  Fall  report  to  stockholders,  Sosthenes  Behn, 
President  of  the  International  Telephone  &  Telegraph  Corporation 
explains : 


"The  decrease  of  approximately  $900,000  in  telephone  and 
radio-telephone  ope  rating  revenues,  as  compared  with  the  similar 
period  of  1939,  was  caused  by  the  decrease  in  the  U. S.  dollar 
value  of  the  foreign  currencies  realized  from  such  operations. 
Actually,  the  revenues  in  local  foreign  currencies  for  the  period 
in  question  were  in  every  case  in  excess  of  those  for  the  similar 
period  of  1939.  " 


XXXXXXXXX 

G.E.  STEAMS  UP  FOR  50  KW  FM  STATION 


Application  has  been  made  by  the  General  Electric  Company 
to  the  Federal  Communications  Commission  for  permission  to  extend 
the  power  of  its  FM  station,  W2X0Y,  from  the  present  licensed 
powers  of  2500  watts  to  50,000  watts.  Operating  on  43.9  mega¬ 
cycles,  W2X0Y  is  located  on  the  Helderberg  Mts. ,  1200  feet  above 
the  valley  floor.  It  overlooks  Albany,  Schenectady,  and  Troy  and 
will  serve  an  area  of  16,030  square  miles  populated  by  1,560,000 
potential  listeners. 


XXXXXXXX 
WINCHELL  FREED  ON  RADIO  CHARGE 


Supreme  Court  Justice  Peter  Schmuck  dismissed  as  against 
the  Radio  Corporation  of  America,  the  National  Broadcasting  Company 
and  the  Andrew  Jergens  Company,  a  $1,000,000  libel  suit  brought  by 
Joseph  Curran  as  President  of  the  National  Maritime  Union  of  America, 
because  of  remarks  allegedly  made  by  Walter  Winchell  in  a  broadcast 
on  June  9.  The  court  said  the  language  used  in  the  broadcast  was 
not  specified  by  the  plaintiff.  Justice  Schmuck  refused  to  dismiss 
the  suit  as  against  Mr.  Winchell  and  The  Daily  Mirror,  Inc. ,  for 
statements  made  in  Mr.  Winchell 's  column  on  June  10. 

XXXXXXXXX 


10 


10/1/40 


BARRED  FROM  USING  REMINGTON  NAME 


The  Federal  Trade  Commission  has  issued  an  order  requir¬ 
ing  Automatic  Radio  Manufacturing  Company,  Inc.,  Boston,  Galvin 
Manufacturing  Corporation,  Chicago,  and  the  Pep  Boys  -  Manny,  Moe 
and  Jack,  Inc. ,  Philadelphia,  to  cease  and  desist  from  unauthorized 
use  of  the  trade  name  "Remington"  to  designate  radios,  tubes  and 
other  radio  parts. 

Commission  findings  are  that  the  Automatic  and  Galvin 
companies,  manufacturers,  sold  radio  sets  and  parts  bearing  the 
name  Remington  exclusively  to  the  Pep  Boys’  organization,  which 
operates  a  chain  of  52  stores  in  various  cities,  and  that  the  two 
manufacturing  corporations  have  cooperated  with  the  Pep  Boys  company 
in  adopting  and  using  the  name  Remington  to  identify  and  designate 
radios  sold  by  them  to  the  Pep  Boys  company  for  resale  to  the  pur¬ 
chasing  public. 

The  name  Remington,  according  to  findings,  is  the  name 
or  part  of  the  name  of  a  number  of  corporations  well  known  and 
long  established,  some  of  which  employ  it  as  a  trade  name,  mark 
or  brand  for  the  products  they  make  and  sell;  and  the  respondents’ 
use  of  the  name  has  been  without  the  authority  or  consent  of  any 
of  the  corporations  which  have  heretofore  so  used  it. 

The  Commission  order  directs  the  Automatic  Radio  Manu¬ 
facturing  Company,  Inc. ,  Galvin  Manufacturing  Corporation,  and  the 
Pep  Boys  -  Manny,  Moe  and  Jack,  Inc.,  in  connection  with  the  sale 
of  radio  sets,  tubes  and  parts,  to  cease  and  desist  from  using  the 
word  "remington"  or  any  simulation  of  it,  whether  spelled  the  same 
or  not,  as  a  brand  or  name  to  mark,  designate,  describe  or  refer  to 
radios,  radio  tubes  or  other  radio  parts. 

The  Commission  further  ordered  that  its  complaint  in 
this  proceeding  be  dismissed  as  to  the  Ferguson  Radio  and  Televi¬ 
sion  Company,  Inc.,  New  York,  which  was  named  as  a  respondent  in 
the  complaint,  but  which  is  no  longer  in  business. 

XXXXXXXX 

ATTORNEYS'  APPLICATIONS  APPROVED 

Applications  for  the  following  attorneys  to  practice  be¬ 
fore  the  Federal  Communications  Commission  were  approved  by  the 
Commission : 

Raymond  A.  Bartlett,  New  York,  N.  Y. ;  Eugene  Best,  River¬ 
side,  Calif. ;  Clifton  W.  Brannon,  Toccoa,  Ga. ;  Delbridge  L.  Gibbs, 
Dallas,  Tex.;  Walter  East  Hempstead,  Jr.,  Los  Angeles,  Calif.; 

Samuel  Jacobs,  Albany,  N.Y. ;  George  H.  Leonard,  Fort  Wayne,  Ind.  ; 
Henry  Mayer,  New  York,  N.Y. ;  Richard  Arthur  Ruppert,  Cincinnati, 

Ohio,  and  Doyle  Willis,  Dallas,  Texas. 


xxxxxxxxxx 

-  11  - 


10/1/40 


NBC  INTERNATIONAL  STATIONS  BOOM 


With  improved  beam  antennas,  Stations  WRCA  and  WNBI, 
broadcasting  with  50,000  watt  transmitters  of  the  NBC  will  become 
two  of  the  most  powerful  in  the  world. 

At  the  same  time,  the  International  Division  of  NBC  has 
just  moved  to  larger  quarters  in  Radio  City  and  -  from  the  pulsat¬ 
ing  nerve  center  -  during  sixteen  hours  of  every  twenty-four,  an 
uncensored  chronicle  of  world  events  is  flashed  across  the  seven 
seas  to  millions  of  eager  listeners.  The  broadcasts  are  in  Spanish, 
Portuguese,  French,  Italian,  German  and  English. 

The  success  and  expansion  of  NBC's  International  Division 
is  attributable  to  the  superb  collaboration  of  a  staff  of  forty  men 
and  women  directed  by  Guy  C.  Hickok  who  has  spent  fifteen  years  of 
his  busy  life  in  foreign  countries  in  the  collection  and  dissemina¬ 
tion  of  news. 

Before  opening  its  world  wide  short-wave  service,  RCA- NBC 
engineers  had  made  comprehensive  field  tests  over  several  years  and 
more  than  three-quarters  of  a  million  dollars  had  been  spent  to 
perfect  transmission  and  reception  of  the  radio  programs  throughout 
the  world,  according  to  an  NBC  statement,  more  of  which  follows: 

"There  are  3,500,000  radio  sets  in  Latin  America,  of  which 
it  is  estimated  that  2,100,000  are  equipped  for  short-wave  reception 
For  nine  hours  daily,  the  beams  of  WRCA  and  WNBI  are  directed  to 
these  listeners.  Eight  of  these  hours  carry  programs  in  Spanish 
and  Portuguese.  There  is  also  an  American  Hour  in  English  for 
Americans  away  from  home.  Broadcasts  during  the  evening  hours  on 
directional  beams  range  from  the  pooulous  cities  of  the  East  Coast 
of  South  America,  over  the  high  Andes  to  the  important  cities  in  the 
West,  and  over  Mexico  and  the  Caribbean  area,  thereby  providing  the 
maximum  of  reception  in  the  centers  of  population. 

"But  do  Latin  Americans  tune  in  to  NBC  international  pro¬ 
grams?  Conclusive  proof  may  be  found  in  the  fact  that  nearly  24,000 
letters  were  received  from  listeners  South  of  the  Rio  Grande  as  a 
result  of  the  Louis-Godoy  boxing  match,  carried  to  Latin  America  in 
Spanish  from  the  ringside  in  Madison  Square  Gardon  on  the  night  of 
February  8. 

"NBC  received  40,000  letters  in  1939  from  listeners  in 
eighty-two  countries,  protectorates  and  territories,  covering  every 
comer  of  the  globe,  in  response  to  its  daily  programs.  This  year's 
mail  is  running  at  a  rate  of  over  60,000  letters.  Not  only  do  the 
NBC  International  stations  broadcast  their  programs  to  a  daily 
audience  of  2,100,000  families  in  Latin  America  but  also  to  many 
millions  more  throughout  the  world.  " 

XXXXXXXXXX 


12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  OCTOBER  4,  1940 


Try  The  Short  Wave  Bands,  Caldwell  Urges . 2 

Request  Of  St.  Louis  Broadcaster  Denied . 4 

WMCA  To  Move  To  New  Site . 4 

Diplomats  To  Dedicate  Powerful  New  Crosley  Station . 5 

Magazine  Writer  Pans  Mr.  Fly . 6 

FCC  Amends  FM  Rules  And  Regulations . 8 

New  Safety  Foot  Control  Auto  Radio . 10 

German  Sets  Increase  100,000  Per  Month . 10 

International  Stations  Called  For  National  Defense  Conference.il 
Philips  Radio  Management  Reported  In  New  York . 11 

U.  S.  Short-Wave  Program  Sponsorship  Renewed . 12 

New  G. E..  Transmitter  Manufacturing  Building . 12 

Columbia  Billings  Up  21  Percent. . 12 


No.  1271 


TRY  THE  SHORT  WAVE  BANDS,  CALDWELL  URGES 


If  you  have  explored  only  the  broadcast  band,  you  have 
explored  only  a  very  small  part  of  radio's  vast  empire,  Dr. 

Orestes  H.  Caldwell,  former  U.  S.  Ra.dio  Commissioner,  told  a 
coast-to-coast  audience. 

"When  I  was  a  young  boy,  I  remember  that  there  came  into 
my  hands,  in  some  way,  one  single  volume  out  of  an  encyclopedia 
set",  Dr.  Caldwell,  who  is  also  the  radio  industry's  Number  1 
editor,  said.  "This  particular  volume  covered  only  the  letters 
B  and  C,  but  I  read  it  intensively,  all  the  way  from  Botany  and 
Boxing,  clear  through  to  Crabs  and  Cracow.  I  learned  all  about 
Bunyan,  Bunker  Hill,  Carbolic  Acid  and  Cervantes.  But  for  a  long 
time  I  wondered  what  other  marvels  must  lie  beyond  the  borders  of 
that  single  volume  with  which  I  had  become  so  familiar. 

"In  much  the  same  way,  a  radio  listener  who  confines  him 
self  to  listening  merely  on  the  broadcast  band  is  shutting  himself 
out  from  the  rest  of  the  vast  alphabet  of  radio.  He  is  covering 
letters  B  and  C  all  right,  but  he  is  overlooking  a  whole  world  of 
fascinating  information  and  entertainment  that  is  to  be  found 
along  the  rest  of  radio's  expanse. 

"For  the  broadcast  band,  from  550  kc  to  1600  kc,  which 
we  know  so  well,  covers  only  about  1000  kc,  as  you  will  see  by 
subtracting  550  from  1600.  Compared  with  this,  the  total  radio 
frequencies  now  available  add  up  to  about  one  hundred  million 
kilocycles  -  or  100,000  times  as  much  as  the  small  broadcast  range 
which  you  tune  back  and  forth. " 

"Already  great  sections  of  the  radio  short-wave  spectrum 
are  occupied  and  in  use,  and  you  will  find  much  fascinating  enter¬ 
tainment  as  you  explore  these  channels  below  the  broadcast  band. 

"First  come  the  police  wavelengths,  clearly  marked  on 
your  shortwave  dial.  And  if  you  are  the  kind  of  person  who  turns 
to  look  at  a  motorcycle  cop  speeding  after  a  culprit,  or  a  patrol 
wagon  full  of  policemen  dashing  to  quell  a  riot,  you  will  find  the 
police  bands  a  perpetual  carnival  of  adventure  and  protection 
against  crime.  Fights,  neighborhood  rows,  accidents  and  fugitive 
criminals  pour  out  of  these  police  bands  in  unending  succession. 
From  your  vantage  point  of  your  own  radio  short  wave  set,  you  can 
probably  tune  in  on  half  a  dozen  city  and  state  police  departments 
and  so  get  a  composite  picture  of  the  incessant  activity  of  these 
tireless  officers  of  the  law. 

"Next  there  are  the  airplane  communication  channels,  - 
also  marked  on  your  dials.  Tune  in  these  and  listen  to  pilots 
10,000  ft.  aloft,  guiding  great  commercial  transoort  planes  and 

-  2  - 


10/4/40 


talking  to  the  dispatch  officers  at  the  landing  fields.  Hear  the 
man  in  the  tower  order  one  plane  to  remain  aloft,  while  he  lets 
another  plane  make  a  safe  landing  on  the  field.  Hear  weather 
reports  coming  in  from  pilots  over  the  mountains.  And  if  a  storm 
or  fog  comes  up  suddenly,  you  may  tune  in  on  some  thrilling  drama 
of  the  skies,  as  the  traffic  officers  and  pilots  report  quick  but 
fateful  decisions  to  go  through,  go  over,  or  land  at  some  un¬ 
scheduled  emergency  field . 

"Then,  too,  there  are  also  the  amateurs  or  'hams' 
chattering  away  on  these  particular  reservations  in  the  short-wave 
band.  Radio  amateurs,  as  you  will  find,  usually  busy  themselves 
with  talking  on  the  air  with  other  hams  halfway  across  the  conti¬ 
nent  about  the  relative  merits  of  their  'rigs’,  their  antennas 
and  the  circuits  they  are  using.  But  when  an  emergency  arises, 
such  as  a  flood,  hurricane  or  earthquake,  shutting  down  regular 
communication,  the  hams  are  alwa.ys  'there'  rendering  invaluable 
public  service  by  relaying  vital  messages  when  no  other  means  are 
available.  At  such  times,  the  amateur  channels  fairly  sparkle 
with  drama  and  adventure. 

"But  most  interesting  of  all  the  short-wave  bands  nowa¬ 
days,  of  course,  are  the  international  news  channels  bringing  us 
direct  news  from  the  European  capitals.  These  give  every  owner 
of  a  radio  with  a  short-wave  band,  the  opportunity  to  listen  in 
directly  to  the  official  statements  by  the  representatives  of  the 
nations  that  are  broadcasting. " 

"Few  people  make  use  of  the  short-wave  bands  to  listen 
to  foreign  stations  direct,  or  know  the  secret  of  successful 
tuning-in  on  the  short-wave  spectrum. 

"Simply  turn  the  short-wave  tuning  dial  very  slowly 
while  the  volume  control  is  turned  high.  The  listener  must  then 
listen  intently,  and  if  he  comes  upon  a  program,  tune  squarely  in 
to  its  center  for  best  reception.  Tuning  in  the  short-wave  band 
is  a  matter  of  the  most  careful  fingering,  for  the  width  of  a 
hair  may  tune  in  or  out  an  imoortant  foreign  broadcast. 

"The  places  where  the  foreign  broadcasts  come  in  on  your 
dial  are  undoubtedly  marked  by  groups  -  16  meters,  19  meters,  25 
meters,  31  meters  and  49  meters.  Most  of  the  foreign  broadcasts 
are  sent  out  on  all  or  many  of  these  wavelengths,  so  that  you  can 
tune  in  the  program  at  the  wavelength  which  is  reaching  you  best 
at  the  time.  Because  daylight  ha s  a  very  important  effect  on 
shortwaves,  owing  to  the  sun's  ionization  of  the  atmosphere,  the 
16-meter  band  will  be  found  best  for  morning  reception.  In  the 
afternoon,  use  19  and  25  meters.  In  the  early  evening  tune  to 
25  and  31  meters.  And  late  at  night  use  31  and  49  meters. 

"Here  are  some  of  the  European  news  broadcasts  which  are 
heard  best  in  the  United  States  during  regular  listening  hours: 


3 


10/4/40 


London  - 

9:00 

9:00 

A. M. ,  12  Noon,  2  P .M. 
P.M. ,  and  10:30  P.M.  ■ 

,  4:50, 

-  all  E. 

5:45 
,  S.T. 

and  7 

Berlin  - 

7:15 

P.M. ,  9:15  P.M. ,  1:00 

A.M.  - 

all 

E.  S.  T. 

Rome 

7:15, 

11:00  P.M  ,  and  1:00 

A.M.  - 

all 

E.  S.  T. 

Moscow  - 

8:00 

and  9:00  P.M. ,  E. S. T. 

Hungary- 

8:00 

P.M. ,  E. S. T. 

"I  can  assure  you  that  short-wave  listening  gives  one 
a  never-ending  thrill  -  especially  if  you  stop  occasionally  to 
think  about  the  miracle  you  are  experiencing.  With  all  our  modern 
transportation,  the  travel  time  across  the  Atlantic  is  still  four 
or  five  days  by  boat,  and  one  day  by  clipper  plane.  Yet,  seated 
in  your  easy  chair,  you  can  travel  this  very  night  to  Europe  half 
a  dozen  times.  You  travel  on  the  wings  of  radio,  which  requires 
only  one-fiftieth  of  a  second  to  make  the  trip  across  the  Atlantic 
You'll  hear  in  orderly  succession  the  statements  of  nations  actual 
ly  at  each  others'  throats.  It's  as  though  in  the  midst  of  some 
great  championship  prizefight,  we  could  tune  in  on  the  mental 
processes  of  the  contestants  and  hear  what  they  are  thinking, 
between  blows.'  "  _ 

xxxxxxxxx 


REQUEST  OF  ST.  LOUIS  BROADCASTER  DENIED 


The  Federal  Communications  Commission  has  denied  the 
request  of  Thomas  Patrick,  Inc.,  of  St.  Louis  for  indefinite 
extension  of  time  within  which  to  submit  proposed  antenna  speci¬ 
fications.  The  FCC  has  advised  the  licensee  that  unless  the 
required  information  is  received  by  the  close  of  business  on  Novem 
ber  2,  1940,  the  construction  permit  for  modification  of  license 
will  be  retired  to  the  closed  files  for  failure  to  comply  with  the 
terms  thereof. 


xxxxxxxx 


WMCA  TO  MOVE  TO  NEW  SITE 


Everything  is  set  for  Station  MCA,  the  Knickerbocker 
Broadcasting  Co.,  at  Hew  York  City,  to  move  its  composite  trans¬ 
mitter  from  College  Point  Causeway,  Flushing,  to  the  site  of  the 
new  main  transmitter  at  Belleville  Turnpike,  Kearny,  N.  J.  It 
will  use  directional  antenna  day  and  night.  An  excellent  view  of 
the  new  MCA  plant  may  be  had  from  the  Pennsylvania  Railroad  train 
as  one  enters  New  York  City  from  Philadelphia. 


10/4/40 


DIPLOMATS  TO  DEDICATE  POWERFUL  NEW  CROSLEY  STATION 


The  forging  of  a  powerful  radio  link  between  the  United 
States  and  its  Latin  American  neighbors  to  the  south  will  be 
officially  completed  on  Saturday,  October  12,  with  the  dedication 
of  the  new  50  KW  WLWO,  international  short-wave  station  of  the 
Crosley  Corporation. 

Representatives  of  the  Department  of  State,  ambassadors 
and  ministers  of  most  of  the  Latin  American  republics,  and  other 
nationally  prominent  speakers  will  take  part  in  a  two-and-a-half 
hour  program  to  be  carried  by  WLWO,  originating  in  Cincinnati  and 
Washington,  D.  C.  The  first  hour  of  the  ceremonies  will  be 
relayed  to  listeners  on  the  standard  broadcasting  band  by  WLW, 
from  8  to  9  P.M. ,  EST. 

In  addition  to  diplomatic  representatives,  whose  names 
will  be  announced  later,  the  speakers  will  include  Dr.  Leo  S. 

Rowe,  Director-General  of  the  Pan  American  Union,  and  Thomas 
Burke,  Chief  of  the  Communications  Division  of  the  State  Depart¬ 
ment.  Representatives  of  the  Federal  Communications  Commission 
also  will  appear.  The  first  hour  will  be  broadcast  in  Spanish 
and  English. 

The  second  portion  of  the  dedicatory  program  will  in¬ 
clude  addressed  by  Francisco  Castillo  Najera,  Mexican  Ambassador; 
Capitan  Colon  Elo.y  Alfaro,  Ecuadorian  Ambassador;  Diogenes 
Escalante,  Venezuelan  Ambassador;  Adrian  Recinos,  Guatemalan 
Minister;  Leon  De  Bayle,  Nicaraguan  Minister;  Hector  David  Castro, 
Minister  from  El  Salvador,  and  Julian  Caceres,  Minister  from 
Honduras.  This  section  portion  will  be  conducted  in  Spanish, 
Portuguese  and  French  languages. 

At  the  hour  of  the  dedication  ceremonies,  WLWO  will  be 
operating  on  a  frequency  of  15,270  kilocycles  (19.6  meters),  one 
of  the  six  wavelengths  for  which  it  has  been  licensed  by  the  FCC. 

First  experimental  broadcasts  over  WLWO  at  present  power 
were  conducted  last  April.  The  station  operates  with  a  power  out¬ 
put  of  50,000  watts,  which  by  virtue  of  a  directional  beam  toward 
South  America,  reaches  an  optimum  power  of  600,000  watts  in  the 
territory  it  covers. 

The  station’s  transmitter  is  located  at  Mason,  Ohio.  It 
uses  a  rhombic,  or  diamond- shaped  antenna,  which  focuses  the  radio 
beam  in  the  comparatively  narrow  path  used  for  transmission  to  the 
Latin  American  countries.  Its  programs,  like  those  of  WLW,  origi¬ 
nate  in  Cincinnati  studios. 

Recently,  application  for  power  of  75,000  watts  for  the 
short-wave  outlet  was  filed  with  the  FCC. 


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10/4/40 


MAGAZINE  WRITER  PANS  MR.  FLY 


No  public  official  was  ever  more  thoroughly  scorched 
than  Chairman  James  L.  Fly  in  an  article  "Trouble  in  Television" 
by  Alva  Johnston  in  the  September  29th  issue  of  the  Saturday 
Evening  Post.  Extracts  from  the  article  follow: 

"Television  was  ready  last  March  to  sweep  the  country 
when  its  progress  was  suddenly  checked  by  Washington’s  discovery 
that  Americans  in  ordinary  circumstances  were  too  poor  to  buy 
television  sets  and  must  be  protected  from  the  temptation  by  the 
Federal  Government.  " 

"Chairman  Fly  is  one  of  the  sponsors  of  the  theory  that 
people  of  moderate  and  low  incomes  should  be  protected  against 
television  because  of  a  supposititious  danger  that  the  present- 
day  television  sets  may  soon  become  obsolete . 

"A  precedent  for  Chairman  Fly’s  camoaign  to  protect  the 
poor  against  luxuries  is  to  be  found  in  the  records  of  seventeenth- 
century  trials  in  Boston,  where  women  were  convicted  and  fined  for 
wearing  silk,  unless  able  to  prove  that  their  husbands  were  worth 
more  than  $1,000 . 

"Frank  R.  Dutcher,  of  Balmville  Road,  Newburgh, (N. Y. ) , 
has  a  small  television  set.  .  .  .  Chairman  Fly,  of  the  FCC,  visit¬ 
ed  the  Dutchers  to  see  their  television  set  in  operation. 

'"  The  first  thing  that  Chairman  Fly  said'  ,  said  Mrs. 
Dutcher,  'is  "This  is  going  to  kill  the  movies."’" 

"The  FCC’s  attack  on  television  started  early  this  year. 
In  February,  the  FCC  authorized  David  Sarnoff,  President  of  the 
Radio  Corporation  of  America,  to  start  a  campaign  to  sell  tele¬ 
vision  sets.  In  March,  the  Commission  attacked  Sarnoff  for  carry¬ 
ing  out  the  authorized  plan.  In  April,  Chairman  Fly  testified 
before  a  Senate  Committee  that  the  FCC  had  been  wrong  and  that 
Sarnoff  had  been  right. " 

"Chairman  Fly's  exolanation  before  the  Senate  Committee 
was  that  the  FCC  had  'misjudged  the  situation'.  Several  of  the 
seven  members  of  the  FCC  have  long  records  as  business  baiters. 

The  transcript  of  the  television  hearings  before  the  ^CC  makes 
it  fairly  clear  that  some  of  the  Commissioners  are  the  kind  of 
men  who  would  rather  have  a  controversy  than  an  industry. " 

"There  is  only  one  practical  television  man  on  the  Com¬ 
mission.  This  is  Cora.  T.A.M.  Craven,  a  retired  naval  officer  and 
radio  engineer.  He  described  the  Commission's  attitude  as  'absurd 
on  its  face'.  Former  Governor  Norman  S.  Case,  of  Rhode  Island, 
is  another  Commissioner  who  has  not  participated  in  the  hostil¬ 
ities  against  television. 


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10/4/40 


"Had  Sarnoff  been  a  smaller  man,  there  probably  would 
not  have  been  any  trouble  in  television.  A  less  important  figure 
would  not  have  been  attractive  as  a  target  for  an  anti-big-busi¬ 
ness  crusade.  " 

"Fly  became  a  trust-buster  in  the  Department  of  Justice 
in  the  time  of  President  Hoover,  and  later  a  battleragainst  util¬ 
ities  as  a  lawyer  for  TVA.  He  is,  according  to  one  Washington 
columnist,  ’the  cockiest'  official  who  ever  'scuttled  an  economic 
royalist's  ship'.  He  sees  signs  of  big-business  conspiracies  in 
the  most  innocent  words.  He  once  interrupted  a  television  engi¬ 
neer  who  testified  that  a  certain  engineering  practice  was  ’recom¬ 
mended'  . 


"'I've  been  in  the  antitrust  business  for  five  years', 
said  Fly,  'and  I'm  afraid  of  the  word  "recommendation". ' 

"Uproars  have  a  habit  of  following  Fly  around.  What  is 
said  to  have  been  one  of  the  most  painful  scenes  in  the  history  of 
the  Supreme  Court  occurred  on  November  15,  1938,  when  Fly  insulted 
Justice  Roberts,  who  was  inquiring  as  to  the  meaning  of  a  phrase. 

"'It  is  clear  everywhere  except  in  your  honor's  mind', 

said  Fly. 


"Fly  treats  witnesses  before  the  FCC  with  no  more  ceremony 
than  if  they  were  Supreme  Court  justices.  Lewis  Allen  Weiss,  of 
Los  Angeles,  an  executive  of  the  Don  Lee  organization,  was  testify¬ 
ing  that  the  Don  Lee  policy  was  to  seek  the  best  that  there  was  in 
television. 


"Fly  cut  in,  'That's  Rotary  Club  talk.  That's  just  a 
Rotary  Club  speech  about  American  democracies  have  always  progress¬ 
ed,  and  we  will  find  the  ways,  and  all  that  sort  of  stuff. ' 

"When  Fly  became  Chairman  of  the  FCC  a  year  ago,  he 
decreed  that  everybody  should  rise  when  the  Commissioners  enter  the 
room.  The  custom  of  rising  in  courtrooms  at  the  entrance  of  judges 
goes  back  a  thousand  years  or  so  to  the  time  when  a  judge  was  sup¬ 
posed  to  be,  not  the  personal  representative  of  the  king  but  the 
king  himself. 

"It  would  show  a  better  sense  of  the  fitness  of  things 
if  the  Commissioners  jumped  up  every  time  a  taxpayer  entered  the 
room.  " 


XXXXXXXXX 


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FCC  AMENDS  EM  RULES  AND  REGULATIONS 


For  the  purpose  of  providing  more  effective  use  of  the 
limited  number  of  channels  available  for  high  frequency  broadcast 
stations  (FM),  the  Federal  Communications  Commission  has  amended 
the  Rules  and  Regulations  Governing  High  Frequency  Broadcast 
Stations  so  as  to  clarify  the  requirements  as  to  the  areas  to  be 
served.  Under  the  amendment  the  35  channels  are  divided  in  three 
groups  as  previously.  However,  the  extent  of  the  service  area  of 
stations  operating  on  these  frequencies  is  defined  more  specifical¬ 
ly. 


The  terms  "basic  trade  area"  and  "limited  trade  area" 
are  coined  for  the  purpose  of  defining  and  establishing  the  area 
to  be  served  by  high  frequency  broadcast  stations.  In  addition 
to  these  two  areas,  rural  areas  are  also  recognized  as  service 
areas.  The  meaning  of  rural  area  as  used  for  this  purpose  is  sub¬ 
stantially  the  same  as  that  defined  by  the  Census  Bureau  except 
for  certain  modifications  for  radio  purposes.  Trade  areas,  both 
basic  and  limited,  are  selected  as  the  best  means  of  establishing 
the  service  of  high  frequency  stations. 


There  will  be  approximately  625  basic  trade  areas.  The 
Commission  will  establish  the  boundaries  of  these  areas  on  the 
basis  of  a  showing  made  by  applicants  and  other  Government  economic 
radio  coverage  data.  Special  consideration  will  be  given  to  the 
radio  coverage  limitations,  but  as  far  as  possible,  the  retail 
trading  area  will  be  followed.  Each  area  will  have  one  or  more 
stations  designed  to  serve  the  entire  area,  but  since  the  area 
may  vary  widely  in  size,  the  effective  radiation  (determined  by 
antenna  height,  antenna  gain  and  power)  from  stations  in  different 
areas  will  vary  widely.  To  permit  the  stations  in  the  large  cities 
to  extend  their  areas  beyond  the  trade  area  would  necessarily 
result  in  a  situation  where  some  areas  which  could  otherwise  sup¬ 
port  a  station  would  not  be  able  to  do  so,  and  as  a  result,  the 
plan  for  uniform  distribution  of  service  where  technically  and 
economically  feasible  would  be  impaired. 

Twenty-two  channels  are  assigned  to  be  used  by  stations 
serving  basic  and  limited  trade  areas  in  which  the  city  in  which 
the  station  is  located  has  a  population  of  over  25,000.  Six  chan¬ 
nels  are  reserved  for  the  basic  and  limited  trade  areas  in  which 
the  city  in  which  the  station  is  located  has  population  less  than 
25,000. 


In  case  an  application  is  submitted  for  a  station  to 
serve  an  area  which  has  not  been  established  and  recognized  by  the 
Commission  as  a  service  area  for  high  frequency  broadcast  sta¬ 
tions,  the  applicant  must  submit  the  necessary  data  to  permit  the 
establishment  of  the  area  as  a  service  area..  In  case  of  basic 
trade  areas,  a  composite  map  should  be  made  from  the  several  sources 
on  retail  trading  areas.  The  following  are  recognized  sources  of 
information:  J.  Walter  Thompson  (Retail  Shopping  Areas), 

Hearst  Magazines,  Inc.  (Consumer  Trading  Areas),  Rand  McNally  Map 
Company  (Trading  Areas),  and  Hagstrom  Map  Company’s  Four  Color 

-  8  - 


10/4/40 


Retail  Trading  Area  Map.  If  other  reliable  sources  of  informa¬ 
tion  are  available,  they  may  also  be  drawn  on  the  composite 
trade  area  map.  This  map  may  best  be  made  on  copy  drawing  paper 
with  the  area  boundaries  from  various  sources  in  different  colors. 

Stations  designed  to  cover  a  limited  trade  area  must 
also  have  an  established  service  area.  The  Hagstrom  Map  Company's 
Four  Color  Retail  Trading  Area  Map  may  best  be  used  to  assist  in 
determining  the  service  area. 

In  covering  a  trade  area,  the  transmitter  must  be  so 
located  that  good  service  is  delivered  to  the  trade  center  of  such 
area  and  the  field  intensity  contour  bounding  the  service  area  of 
the  station  should  conform  generally  with  established  boundary  of 
the  trade  area.  In  rugged  terrain  or  sparse  population,  special 
consideration  must  be  given  to  the  service  area  in  light  of  the 
entineering  and  economic  factors  involved.  A  station  designed  to 
serve  a  basic  trade  area  in  which  the  principal  city  constitutes 
one  of  the  metropolitan  districts,  as  determined  by  the  Census 
Bureau,  must  deliver  a  signal  of  at  least  1  mv/m  throughout  the 
business  district  of  each  city  in  the  metropolitan  district  with 
population  over  10,000. 

Seven  channels  are  assigned  for  stations  designed  to 
serve  primarily  large  rural  areas  which  cannot  be  served  satis¬ 
factorily  by  stations  serving  basic  and  limited  trade  areas  due 
to  technical  or  economic  limitations.  These  stations  are  per¬ 
mitted  to  serve  principal  cities  or  other  cities  provided  that  in 
giving  this  service,  they  do  not  sacrifice  their  rural  service 
which  the  station  is  designated  to  serve.  These  stations  cannot 
be  located  so  that  their  service  area  coincides  with  limited  or 
basic  area  station.  The  location  ordinarily  would  utilize  high 
topographical  locations  to  permit  of  the  coverage  of  large  rural 
areas  which  must  be  at  least  15,000  square  miles  except  in  special 
cases  provided  in  the  rules.  The  purpose  of  these  stations  is  to 
round  out  the  service  to  the  rural  area  which  these  stations  can 
supply,  tut  could  not  be  supplied  by  the  stations  designated  to 
serve  trade  areas.  The  key  to  these  stations  is  large  rural  cover¬ 
age  without  competitive  advantages  over  trade  area  stations. 

By  Section  3.283(d),  an  area  of  unusual  characteristics 
is  recognized  as  a  service  area  which  does  not  fall  under  the  pat¬ 
tern  as  outlined  above.  Such  an  area  will  be  recognized  as  the 
service  area  of  a  station  only  in  special  cases  where  a  definite 
need  can  be  shown  and  where  unfair  competition  will  not  arise. 

The  general  plan  as  outlined  for  the  areas  in  Section  3.223(a), (b) 
and  (c)  is  necessary  to  give  a  well  rounded  out  technical  service 
and  create  a  sound  economic  basis  for  allocation.  This  special 
service  area  is  established  only  for  the  very  unusual  case  which 
may  arise  but  which  must  not  result  in  a  substantial  departure 
from  the  purpose  and  plan  in  rendering  service  to  the  public  by 
means  of  high  frequency  broadcast  stations. 

XXXXXXXX 

-  9  - 


10/4/40 


NEW  SAFETY  FOOT  CONTROL  AUTO  RADIO 


The  Zenith  Radio  Corporation  of  Chicago  displayed 
publicly  this  week  for  the  first  time  the  new  safety  foot  con¬ 
trolled  automobile  radio  development. 

"For  years  the  trend  of  the  automotive  engineers  has 
been  to  take  the  controls  such  as  the  throttle,  the  accelerator, 
the  light  dimmer  switch  and  other  devices  away  from  the  hands  of 
the  driver  and  place  them  under  his  feet  to  operate  so  that  the 
eyes  may  be  kept  on  the  road  and  the  hands  on  the  wheel",  Hugh 
Robertson,  Vice-President  and  Treasurer  of  Zenith,  explains. 

"Now  comes  the  Safety  Foot  Controlled  auto  radio  develop' 
ment  which  permits  the  driver  to  change  stations  at  will,  com¬ 
pletely  silence  the  radio,  or  turn  it  on  instantly  with  a  single 
foot  control  while  the  driver  keeps  his  eyes  on  the  road  and  his 
hands  on  the  wheel. 

"With  the  left  foot  the  driver  pushes  the  lever  all  the 
way  down  and  it  automatically  tunes  the  radio  to  the  next  station. 
When  the  passenger  or  the  driver  desires  to  talk,  a  slight  pres¬ 
sure  of  the  left  foot  on  the  same  switch  which  resembles  a  dimmer 
switch  instantly  silences  the  radio  program;  lift  the  foot  and 
the  program  is  on  again  without  waiting  for  the  radio  to  warm  up. 

"This  safety  silencer  feature  is  also  of  value  to  permit 
listening  when  approaching  railroad  crossings,  etc.  The  safety 
foot  control  also  allows  an  additional  extension  to  the  rear  seat, 
so  that  ‘back  seat  drivers’  may  control  the  radio  if  they  desire." 

This  Foot  Controlled  Radio  was  developed  and  patented  by 
Commander  E.  F.  McDonald,  Jr.  ,  President  of  the  Zenith  Radio  Cor¬ 
poration,  and  will  be  shown  at  the  New  York  and  Chicago  Automobile 
Shows  on  the  Lincoln,  Zephyr,  Nash,  Mercury,  and  Ford  cars. 

XXXXXXXXX 


GERMAN  SETS  INCREASE  100,000  PER  MONTH 


The  number  of  licensed  radio  receiving  sets  in  Greater 
Germany  (inclusive  of  the  new  Eastern  Provinces  but  exclusive  of 
the  Protectorate  of  Bohemia  and  Moravia  and  of  the  occupied 
areas)  amounted  to  14,431,142  on  June  1,  1940,  an  increase  of 
103,224  over  the  preceding  month,  the  American  Embassy  in  Berlin 
reports.  This  number  includes  1,022,061  sets  which  are  exempted 
from  paying  the  license  fee  for  social  reasons. 

XXXXXXXXX 


10  - 


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10/4/40 


NEW  SAFETY  FOOT  CONTROL  AUTO  RADIO 


The  Zenith  Radio  Corporation  of  Chicago  displayed 
publicly  this  week  for  the  first  time  the  new  safety  foot  con¬ 
trolled  automobile  radio  development. 

"For  years  the  trend  of  the  automotive  engineers  has 
been  to  take  the  controls  such  as  the  throttle,  the  accelerator, 
the  light  dimmer  switch  and  other  devices  away  from  the  hands  of 
the  driver  and  place  them  under  his  feet  to  operate  so  that  the 
eyes  may  be  kept  on  the  road  and  the  hands  on  the  wheel",  Hugh 
Robertson,  Vice-President  and  Treasurer  of  Zenith,  explains. 

"Now  comes  the  Safety  s’oot  Controlled  auto  radio  develop' 
ment  which  permits  the  driver  to  change  stations  at  will,  com¬ 
pletely  silence  the  radio,  or  turn  it  on  instantly  with  a  single 
foot  control  while  the  driver  keeps  his  eyes  on  the  road  and  his 
hands  on  the  wheel. 

"With  the  left  foot  the  driver  pushes  the  lever  all  the 
way  down  and  it  automatically  tunes  the  radio  to  the  next  station. 
When  the  passenger  or  the  driver  desires  to  talk,  a  slight  pres¬ 
sure  of  the  left  foot  on  the  same  switch  which  resembles  a  dimmer 
switch  instantly  silences  the  radio  program;  lift  the  foot  and 
the  program  is  on  again  without  waiting  for  the  radio  to  warn  up. 

"This  safety  silencer  feature  is  also  of  value  to  permit 
listening  when  approaching  railroad  crossings,  etc.  The  safety 
foot  control  also  allows  an  additional  extension  to  the  rear  seat, 
so  that  'back  seat  drivers’  may  control  the  radio  if  they  desire." 

This  Foot  Controlled  Radio  was  developed  and  patented  by 
Commander  E.  F.  McDonald,  Jr.  ,  President  of  the  Zenith  Radio  Cor¬ 
poration,  and  will  be  shown  at  the  New  York  and  Chicago  Automobile 
Shows  on  the  Lincoln,  Zephyr,  Nash,  Mercury,  and  Ford  cars. 

XXXXXXXXX 


GERMAN  SETS  INCREASE  100,000  PER  MONTH 


The  number  of  licensed  radio  receiving  sets  in  Greater 
Germany  (inclusive  of  the  new  Eastern  Provinces  but  exclusive  of 
the  Protectorate  of  Bohemia  and  Moravia  and  of  the  occupied 
areas)  amounted  to  14,431,142  on  June  1,  1940,  an  increase  of 
103,224  over  the  preceding  month,  the  American  Embassy  in  Berlin 
reports.  This  number  includes  1,022,061  sets  which  are  exempted 
from  paying  the  license  fee  for  social  reasons. 

XXXXXXXXX 


10  - 


10/4/40 


INTERNATIONAL  STATIONS  CALLED  FOR  NATIONAL  DEFENSE  CONFERENCE 


Federal  Communications  Commission  plans,  as  a  part 
of  National  Defense,  to  exercise  stricter  control  over  interna¬ 
tional  broadcast  programs  from  United  States  stations  will  be 
discussed  at  a  conference  in  Washington  Monday,  October  7. 

The  FCC  proposal  would  require  all  international  sta¬ 
tions  to  put  their  program  plans  in  writing,  prohibit  them  from 
deviating  from  the  written  programs  and  would  require  them  to 
record  all  broadcasts. 

Among  those  who  may  participate  in  the  conference  Monday 
are  Guy  C.  Hickok,  of  the  National  Broadcasting  Company;  Walter 
Evans  and  J.  B.  Rock,  of  We stinghouse ;  E.  S.  Darlington,  of 
General  Electric;  James  Shouse,  of  the  Crosley  Radio  Corporation; 
Miss  Tucker,  of  the  Columbia  Broadcasting  System,  and  Walter  S. 
Lemmon,  of  World-Wide. 

Under  the  Defense  program  the  FCC  has  set  up  an  elabor¬ 
ate  net  of  listening  stations  with  recording  apparatus,  enabling 
the  Government  to  collect  its  own  evidence,  although  it  is  con¬ 
tended  the  Commission  is  without  authority  to  copy  private  mes¬ 
sages  and  turn  them  over  to  the  Department  of  Justice  without 
violating  the  Commission's  own  statute. 

The  Commission  some  months  ago  tried  to  put  in  a  rule 
requiring  international  stations  to  broadcast  only  programs  re¬ 
flecting  the  culture  of  the  United  States,  but  the  move  was  viewed 
by  some  as  censorship  and  was  protested  by  the  radio  industry  and 
o  the  r  group  s .  ^ — — 

XXXXXXXXXX 

PHILIPS  RADIO  MANAGEMENT  REPORTED  IN  NEW  YORK 

It  is  understood  from  a  Department  of  Commerce  bulletin, 
that  the  management  of  the  Philips  concern  is  in  New  York  and  that 
Philips  radios  are  now  being  sent  to  Curacao  from  New  York.  The 
transfer  of  the  headquarters  of  the  Philips  concern  was  a  legal 
one  carrying  no  active  business  operation  with  it.  The  company 
is  represented  in  Curacao  by  a  director,  Professor  A.  S.  Oppenheim. 

XXXXXXXXX 

Led  by  KYW  of  the  Westinghouse  Company  in  Philadelphia, 
being  boosted  from  10  to  50  KW,  power  increases  have  been  granted 
as  follows:  WBRC,  Birmingham,  Ala.,  from  1  to  5  KW;  WDWJ,  Times- 
World  Corp.  ,  Roanoke,  Va. ,  1  to  5  KW;  KMED,  Medford,  Ore.,  250 
watts  to  1  KW. ,  and  WNEW,  New  York,  from  1  to  5  KW. 

xxxxxxxx 


11  - 


10/4/40 


U.S.  SHORT-WAVE  PROGRAM  SPONSORSHIP  RENEWED 


S.  C.  Johnson  &  Son,  Inc.,  makers  of  Johnson's  Camu 


Self-Polishing  Glo-Coat,  and  other  wax  products,  have  renewed 
their  sponsorship  for  thirteen  additional  weeks  of  two  short-wave, 
foreign-language,  broadcast  series  directed  to  Latin  America  over 
NBC  short-wave  stations  WBNI  and  WRCA  beginning  October  11. 


In  order  to  reach  the  greatest  potential  audience,  broad¬ 
casts  in  both  Spanish  and  Portuguese  are  being  made.  The  Spanish 


program,  "Las  Estrellas  de  Hollywood"  (The  Stars  of  Hollywood) 
features  Olga  Andree  as  commentator  and  de  Olivares  as  announcer, 
and  is  heard  Friday  nights  at  9:30  to  9:45  EST.  The  Portuguese 
program  "La  Vida  en  Hollywood"  (Life  in  Hollywood)  features 
Iracema  de  Mello  as  commentator  and  Fernando  de  Sa  as  announcer, 
and  is  heard  Friday  nights  at  7:15  to  7:30  EST. 


S.  C.  Johnson  &  Son,  Inc.  was  one  of  the  first  national 


advertisers  to  utilize  short-wave  broadcasting  in  developing  the 
Latin- American  market  for  their  products.  These  two  series  of 
broadcasts  which  began  July  12,  1940,  were  placed  through  Erwin, 
Wasey  &  Co.  ,  Inc. 


xxxxxxxx 


NEW  G.E.  TRANSMITTER  MANUFACTURING  BLDG. 


The  General  Electric  Company  announces  that  contracts 


have  been  awarded  for  the  construction  of  a  new  building  in  its 
Schenectady  works  to  be  used  in  the  manufacture  of  radio  trans¬ 
mitters.  The  building  will  be  of  brick  and  steel  construction, 
800  feet  by  168,  with  provision  for  multi-story  offices  in  front 
The  cost  probably  will  be  in  excess  of  $500,000. 


X  XXXXXXXX 


COLUMBIA  BILLINGS  UP  21  PERCENT 


Columbia  Broadcasting  System  billings  in  September 
amounted  to  $3,108,448,  against  $2,563,132  in  the  1939  month,  an 
increase  of  21.3  percent.  The  cumulative  total  for  the  first  nine 
months  was  $29,512,875,  a  gain  of  22.1  percent  over  the  $24,169,694 
last  year.  Mutual’s  September  billings  were  $283,463,  a  34.6  per¬ 
cent  increase  over  the  $210,589  last  year.  The  total  for  the  nine-* 
month  period  was  $2,777,833,  against  $2,256,817  in  1939,  a  gain  of 
23.1  percent. 


XXXXXXXX 


12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


3ARTMENT 


i  d)  [|  if  j]  §  ^ ;  •  i  \ 


Uli 


OGT  9 


1940, 


INDEX  TO  ISSUE  OF  OCTOBER  8,  1940 


Educators  Shy  At  Monopoly  Report . 2 

Philips  Reports  Adequate  Radios  On  Hand  In  India . 3 


Estimates  Mrs.  Roosevelt's  Broadcast  Earnings  At  $450,000 . 4 

BMI  Stockholders  Receive  Encouraging  Report . 5 

Hollywood's  New  Television  Station  Ready  January  1 . 6 

Rockefeller  To  Include  Radio  In  Cultural  Work . 7 

More  FM  Permits  Sought . 7 

Navy  Day  Receiving  Set  Competition . 7 

ASCAP  Blitzer  Apparently  Unworried. . 

Chicago  Police  Try  FM  On  Large  Scale 
Radio  Engineers'  Convention . 

Trade  Notes . 9 


Stations  Seek  More  Power . . . 10 

RCA  Stands  By  Employees  Entering  Service . 11 

WOR  Television  Station  To  Be  On  Air  Irt  9  Months . 11 

New  Job  Created  For  John  Royal . 12 

G-. E.  Takes  Over  Complete  Operation  Of  WGY . 12 


No.  1272 


CD  CO  CO 


" 

;  , 

■ 


October  8,  1940 


EDUCATORS  SHY  AT  MONOPOLY  REPORT 


The  National  Committee  on  Education  by  Radio  takes  the 
FCC  Monopoly  Investigation  for  quite  a  ride. 

"Early  in  June  a  special  committee  of  the  Federal  Communi¬ 
cations  Commission  completed  its  two-year  investigation  of  radio 
broadcasting  monopoly  and  made  public  a  1,300-page  report  of  its 
findings",  the  Committee's  Bulletin  states.  "immediately  the  radio 
industry  launched  an  attack  on  the  report  charging  inaccuracy  and 
unfairness.  This  was  the  beginning  of  a  struggle  between  government 
and  the  industry  which  promises  to  be  long  and  bitter. 

"The  report  is  most  critical  of  the  broadcasting  networks. 
It  charges:  that  the  network  organizations  have  the  dominant  posi¬ 
tions  at  every  turn  in  the  field  of  radio  broadcasting;  that  the 
heart  of  the  abuses  in  chain  broadcasting  is  the  network  contract 
with  the  local  station  outlets;  that  the  interests  of  the  local 
stations  have  been  subordinated  to  the  interests  of  stations  owned 
and  controlled  by  the  networks;  and  that  as  a  result  of  these 
practices  nearly  half  of  the  profit  made  by  the  660  broadcasting 
stations  found  its  way  into  the  hands  of  the  two  dominant  chain 
systems.  The  report  cites  specific  evidence  from  10,000  pages  of 
testimony  taken  at  hearings  which  extended  over  a  period  of  more 
than  six  months. 

"What  attitude  should  the  public  take?  Its  decision 
ultimately  decides  the  conflict  between  industry  and  the  government. 
If  the  public  loses  confidence  in  the  Communications  Commission  and 
in  the  report  its  committee  has  prepared,  the  Commission  cannot  suc¬ 
cessfully  press  its  claims  against  the  radio  companies.  On  the 
other  hand  if  the  people  come  to  distrust  the  industry,  it  cannot 
hope  to  secure  the  support  necessary  to  check  the  Commission  in  its 
drive  toward  more  stringent  regulation. 

"Ordinarily  the  people  assume  that  an  official  report  of 
a  governmental  agency  such  as  the  Communications  Commission  is 
objective  and  impartial.  Usually  it  represents  a  careful  and  accur¬ 
ate  analysis  of  the  most  expert  testimony  available.  In  this  case, 
however,  one  member  of  the  special  committee  which  prepared  the 
monopoly  report  has  admitted  in  a  recent  appearance  before  the 
Senate  Interstate  Commerce  Committee  that  certain  parts  of  the 
report  are  in  error.  His  admission  casts  a  shadow  over  the  rest  of 
the  report. 

"Ordinarily  people  are  ready  to  apply  a  heavy  discount 
to  the  defense  of  any  industry  against  charges  made  in  official 
reports.  This  is  particularly  true  in  radio  where  the  broadcasters 
exist  only  by  grace  of  governmental  license  and  where  the  sworn 

-  8  - 


10/8/40 


testimony  of  one  national  chain  organization  charges  another  chain 
with  monopolistic  practices.  In  spite  of  this  evidence,  however, 
the  industry  insists  that  it  is  trying  to  maintain  traditional 
American  economic  freedom  against  the  restraint  of  government  and 
is  making  a  bold  and  direct  appeal  to  the  public  for  support  against 
the  recommendations  of  the  FCC  committee. 

"Certainly  there  is  no  clear  indication  of  what  the  public 
attitude  should  be.  People  generally  cannot  be  expected  to  read 
the  10,000  pages  of  complicated  and  technical  testimony.  Few  will 
be  able  to  examine  the  1,300  page  report  of  the  special  committee 
of  the  Commission.  Most  citizens  will  be  dependent  on  what  they 
read  in  the  papers  or  hear. over  the  air. 

"There  seems  to  be  no  adequate  means  of  putting  before 
the  people  all  the  facts  they  may  need  before  passing  on  such  an 
issue  as  the  conflict  between  the  industry  and  the  Commission. 
Obviously  the  governmental  process  of  reporting  is  not  designed  for 
public  use.  It  is  a  legal  process  which  provides  evidence  only  on 
the  points  at  issue.  It  leads  to  a  series  of  conclusions  or  rec¬ 
ommendations  which  suggest  the  decision  to  be  made  by  the  officials 
charged  with  responsibility  for  action.  It  is  not  intended  to  give 
the  lay  public  any  clear  picture  of  the  pros  and  cons  of  the  dif¬ 
ferent  alternatives  presented  by  the  issue. " 

xxxxxxxxx 


PHILIPS  REPORTS  ADEQUATE  RADIOS  ON  HAND  IN  INDIA 


In  a  recent  Commerce  Department  Bulletin  is  a  reference 
to  the  Philips  Radio  concern  from  the  American  Consulate  General 
at  Calcutta  which  reads: 

"Following  the  change  in  the  political  conditions  in  the 
Netherlands,  apprehensions  were  felt  in  the  local  market  regarding 
the  availability  of  stocks  of  the  Dutch  Philips  receiving  sets 
manufactured  by  that  company  in  the  Netherlands.  The  India  branch 
of  the  Dutch  firm  has  made  the  following  announcement  through  the 
press  in  this  connection  recently: 

"'Notice  -  the  recent  developments  in  the  European  conflict 
may  give  rise  to  unfounded  rumors  regarding  lack  of  supplies  of 
Philips  products  in  the  country.  We  take  this  opportunity  of  assur¬ 
ing  all  our  customers  and  trade  relations  that  adequate  stocks  of 
Philips  radio  sets,  Philips  lamps,  valves,  radio  parts,  etc.,  are 
in  India,  and  that  arrangements  for  regular  future  supolies  have 
been  made.  * 

"Despite  the  above  statement,  it  is  understood  that  sup¬ 
plies  of  Philips  products  to  the  trade  are  greatly  restricted. " 

XXXXXXXXXX 


-  3 


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10/8/40 


ESTIMATES  MRS.  ROOSEVELT'S  BROADCAST  EARNINGS  AT  $450,000 


The  broadcasts  of  Mrs.  Roosevelt  have  aggregated  about 
$450,000,  according  to  John  T.  Flynn  in  his  book,  "Country  Squire  in 
the  White  House"  now  in  its  sixth  edition.  Mrs.  Roosevelt's  total 
earnings,  the  writer  declares,  are  something  near  $1,200,000.  The 
total  earnings  of  the  President  and  his  family  since  going  into 
the  White  House,  Mr.  Flynn  estimates,  is  something  over  $2,500,000. 

"Mrs.  Roosevelt's  broadcasts  bring  from  $3,000  to  $4,000 
apiece",  a  chapter  of  the  book  entitled  "White  House,  Inc.",  Mr. 
Flynn  writes.  "She  has  had  about  150  broadcasts.  She  has  broad¬ 
cast  for  Beauty  Rest  Mattresses,  a  shoe  manufacturer,  a  toilet 
preparation  and  others  and  is  now  appearing  for  Sweetheart  Soap . 

"Her  daughter,  Mrs.  John  Boettiger  (formerly  Mrs.  Dahl), 
has  worked  as  a  member  of  the  staff  of  Liberty  magazine  for  Bemarr 
Macfadden,  has  written  articles  and  is  now  writing  for  a  Hearst 
paper  of  which  her  husband,  John  Boettiger,  is  publisher  -  a  job 
he  got  after  he  married  Mrs.  Dahl  -  where  she  is  reported  to  be 
paid  $12,000  a  year.  She  attempted  to  do  some  broadcasting.  An 
agent  representing  her  sent  around  the  following  notice: 

"'Mrs.  Anna  Roosevelt  Dahl,  daughter  of  the  President¬ 
elect,  has  a  charming  voice  and  most  engaging  personality.  She  is 
willing  to  appear  on  any  commercial  program  sponsoring  a  product 
consistent  with  her  public  position. *  " 

"Elliott  Roosevelt  got  $25,000  a  year  as  president  and 
general  manager  of  the  Hearst  chain  of  radio  stations.  Elliott's 
first  foray  into  business  was  as  consultant  of  the  Aeronautical 
Chamber  of  Commerce.  It  was  at  a  time  when  the  industry  was  having 
a  good  deal  of  trouble  with  the  Post  Office  Department.  A  bill  was 
pending  before  Congress  to  authorize  certain  concessions  which  the 
Chamber  was  interested  in,  and  in  the  course  of  the  debate  Elliott 
was  denounced  as  its  lobbyist.  Later  Brigadier  General  William 
Mitchell,  former  army  air  chief,  made  a  similar  charge.  Elliott 
denied  it.  He  said  that  he  was  employed  by  the  Chamber  to  organize 
and  coordinate  various  aviation  companies  to  put  them  on  their  feet. 
He  was  quite  young  and  inexperienced  for  such  an  imposing  service. 
One  congressman  said  he  got  $25,000  a  year,  another  said  it  was 
only  $10,000.  However,  later  William  Randolph  Hearst  wanted  to 
have  four  radio- station  franchises  transferred  to  him  in  Texas  at 
a  time  when  he  was  lambasting  the  President.  He  had  to  get  permis¬ 
sion  of  the  Communications  Commission,  appointed  by  the  President. 

He  employed  Elliott  to  get  those  transfers.  Elliott  handled  the 
job  -  and  with  great  success.  He  was  later  made  general  manager  of 
the  whole  Hearst  chain  at  $25,000  a  year.  " 

xxxxxxxxxx 

-  4  - 


10/8/40 


BMI  STOCKHOLDERS  RECEIVE  ENCOURAGING  REPORT 


Prior  to  holding  the  first  annual  meeting  in  New  York 
City,  stockholders  of  Broadcast  Music,  Inc. ,  formed  for  the  pur¬ 
pose  of  supplying  the  radio  broadcasting  industry  with  its  own 
music,  have  been  advised  that  by  the  end  of  this  year  there  will 
be  available  to  every  licensee  of  BMI  a  catalogue  of  music  suf¬ 
ficient,  with  the  public  domain  and  with  music  which  can  be  obtain¬ 
ed  from  cooperating  licensing  agencies,  to  render  a  full  broadcast¬ 
ing  service.  This  word  comes  in  the  annual  report  of  Neville 
Miller,  a  portion  of  which  reads:  ■ 

’’During  our  first  six  months  of  operation,  we  have  placed 
in  the  hands  of  our  subscribers  more  than  two  hundred  carefully 
selected  musical  compositions  of  excellent  quality,  published  under 
our  company’s  own  imprint,  and  available  in  piano  and  vocal  copies 
and  in  orchestral  form.  We  are  now  on  a  production  schedule  of 
over  one  hundred  selections  a  month,  the  greatest  volume  of  quality 
output  ever  maintained  in  the  publishing  industry,  and  we  are  sub¬ 
stantially  increasing  this  rate  of  production.  Moreover,  our 
company,  by  concluding  agreements  with  other  publishers,  has  ob¬ 
tained  the  performing  rights  to  more  than  twenty-five  thousand 
compositions,  which  will  become  available  to  our  licensees  at  an 
early  date . 

”0ur  company  has  not  only  made  a  substantial  volume  of 
music  available,  but  it  has,  by  means  of  radio  exploitation,  suc¬ 
ceeded  in  having  a  number  of  compositions  on  the  list  of  composi¬ 
tions  most  frequently  performed  and  on  the  list  of  sheet  music  best 
sellers.  One  composition  has  already  sold  in  excess  of  thirty- five 
thousand  copies  and  thirty-five  hundred  orchestrations,  and  a 
steady  volume  of  sales  is  now  being  maintained.  The  volume  of  our 
music  used  on  broadcasting  stations  generally  has  shown  a  steady 
increase  since  the  beginning  of  our  ope  rations. 

’’Needless  to  say,  we  greatly  appreciate  the  support  which 
we  have  received  from  the  broadcasting  industry.  The  list  of  our 
subscribers  has  grown  from  246  to  346  stations,  representing  over 
80$  of  the  dollar  volume  of  the  broadcasting  industry.  Even  this 
figure  does  not  fully  indicate  the  full  measure  of  support  which 
we  have  received.  Forty-three  additional  stations  have  recently 
pledged  their  support  but  have  not  yet  actually  completed  the 
execution  of  their  contracts.  These  stations  will  raise  the  number 
of  subscribers  to  a  numerical  majority  of  all  stations,  and  our 
stockholders  will  represent  not  only  in  excess  of  85$  of  the  dollar 
volume  on  the  industry  but  also  a  full  cross  section  of  the  entire 
industry,  representative  of  independent  stations,  affiliated  sta¬ 
tions  and  network-owned  stations. H 

XXXXXXXXXX 
-  5  - 


ii 


10/8/40 


HOLLYWOOD'S  NEW  TELEVISION  STATION  READY  JANUARY  1 


Work  on  what  is  said  to  be  the  world's  first  station 
built  exclusively  for  television  is  progressing  at  a  rapid  pace 
and  the  superstructure  on  the  two-story-and-mezzanine  edifice 
already  has  been  erected  atop  1700  foot  Mt.  Lee  overlooking  Holly¬ 
wood,  according  to  Thomas  S.  Lee,  President  of  the  Don  Lee  Tele¬ 
vision  System.  Approximately  120,000  feet  of  lumber  and  innumer¬ 
able  bags  of  cement  are  being  used  in  the  modern  structure,  which 
will  cost  approximately  $100,000.  Fbrmal  opening  date  will  be 
about  January  1. 

Novel  features  of  the  plant  will  be  a  25  by  50  foot 
swimming  pool,  which  will  be  the  scene  of  many  aquatic  telecasts, 
and  a  complete  encasement  of  the  building  and  television  stages  in 
a  sheathing  of  copper.  This  requires  22,600  feet  of  this  metal, 
and  is  for  the  purpose  of  eliminating  outside  and  intra-building 
interferences,  according  to  Harry  R.  Lubcke,  Director  of  Television, 
for  the  network. 

The  building  will  have  one  television  stage  60  by  100 
feet  and  another  25  by  45  feet  with  monitor  rooms  in  addition  to 
complete  office  facilities,  transmitter  room,  and  a  special  experi¬ 
mental  laboratory,  as  well  as  scenery  storage  rooms,  makeup  room, 
lounge  viewing  room,  performers'  lounge  and  other  theatrical  facil¬ 
ities.  W6XA0's  new  home  will  be  31  feet  high  and  have  an  overall 
measurement  of  100  by  100.  From  Franklin  Avenue  and  Beachwood  it 
may  be  reached  by  gcring  up  Beachwood,  to  Ledgewood,  to  Deronda,  to 
Mulholland  Highway.  From  the  Mulholland  Highway  junction  the  Mt. 

Lee  Highway  leads  over  a  route  of  scenic  beauty.  This  new  road  has 
been  paved  and  fenced  with  white  guard  rails  to  the  summit. 

A  special  ventilating  system  and  intricate  electrical 
system  for  the  five  television  cameras  and  an  airplane  beacon  atop 
the  building  not  far  from  the  two  150  foot  television  antennas  will 
be  other  features  of  W6XA0.  (The  telecasting  unit  now  has  three 
cameras  and  two  orthicon  cameras  are  on  order  from  New  Jersey.  ) 

New  rantee  of  W6XA0  will  be  60  miles. 


W6XA0  went  on  the  air  December  23,  1931,  and  has  telecast 
more  than  6,000  hours  of  entertainment  in  2,500  separate  programs 
to  500  receivers  within  a  radius  of  30  miles  of  the  present  trans¬ 
mitter  located  at  1076  West  Seventh  Street.  Station  is  now  off  the 
air  to  afford  technicians  an  opportunity  to  make  improvements  in 
the  equipment  and  adapt  the  telecasting  band  to  new  Channel  No.  1. 


XXXXXXXXXX 


The  Allen  B.  DuMont  Laboratories,  Inc.,  Passaic,  N.J., 
have  been  authorized  by  the  Federal  Communications  Commission  to 
operate  a  50  watt  television  transmitter  at  Passaic  on  the  No.  2 
television  channel  in  order  to  make  field  test  measurements. 


XXXXXXXXX 

-  6  - 


10/8/40 


ROCKEFELLER  TO  INCLUDE  RADIO  IN  CULTURAL  WORK 


Nelson  A.  Rockefeller,  who  has  been  appointed  Coordinator 
of  Commercial  and  Cultural  Relations  between  the  American  Republics 
by  President  Roosevelt,  is  expected  to  appoint  some  outstanding 
radio  adviser,  as  well  as  from  the  newspaper  and  motion  picture 
fields.  Just  what  Mr.  Rockefeller  contemplates  along  radio  lines 
is  not  known  at  this  writing.  Up  to  now,  all  international  and 
short-wave  radio  has  cleared  through  the  State  Department  and  the 
Bureau  of  Foreign  and  Domestic  Commerce. 

xxxxxxxxxxx 


MORE  FM  PERMITS  SOUGHT 


Among  those  applying  last  week  for  construction  permits 
for  new  high  frequency  broadcast  stations  at  the  Federal  Communica¬ 
tions  Commission  were  William  F.  Maag,  Jr. ,  Youngstown,  Ohio, 

43.500  kc. ;  WCAU  Broadcasting  Co.,  Philadelphia,  Pa.,  44,300  kilo¬ 
cycles;  Tom  M.  Bryan,  Miami,  Florida,  44,500  kilocycles  and  the 
National  Life  and  Accident  Insurance  Co.,  of  Nashville,  Tenn., 

44.500  kilocycles. 


XXXXXXXX 


NAVY  DAY  RECEIVING  SET  COMPETITION 


The  annual  radiotelegraph  receiving  competition,  conduct¬ 
ed  by  the  American  Radio  Relay  League  in  West  Hartford,  Conn.,  will 
be  held  on  Navy  Day,  October  27,  it  was  announced  by  the  Chief  of 
Naval  Operations. 

Radio  amateurs  throughout  the  United  States  and  its  pos¬ 
sessions  are  invited  to  participate,  and  to  send  to  the  League 
copies  of  the  message  as  received.  Results  will  be  forwarded  to 
the  Chief  of  Naval  Operations,  and  letters  of  appreciation  will  be 
sent  to  those  persons  who  submit  perfect  copies  of  the  broadcast. 

Transmission  will  be  at  the  rate  of  approximately  25 
words  per  minute,  and  will  be  preceded  by  a  five-minute  continuous 
"CQ,!t  call.  The  broadcast  from  Washington  is  set  for  9  P.M. ,  simul¬ 
taneously  on  4045  and  8090  kilocycles,  call  letters  N'AA. 

XXXXXXXXXX 

Rene  Canizares,  of  Havana,  has  received  permission  from 
the  Federal  Communications  Commission  to  transmit  sports  from  New 
York  to  Station  CMCK,  Havana,  via  R.  C.  A.  Communications,  Inc. 

XXXXXXXXXX 

-  7  - 


10/8/40 


ASCA?  BLITZER  APPARENTLY  UNWORRIED 


Someone  calling  on  E.  C.  Mills,  Chairman  of  the  Admini¬ 
strative  Committee  of  the  American  Society  of  Composers  in  New  York 
last  week,  asked  him  if  he  was  apprehensive  with  regard  to  the  radio 
music  battle  now  being  waged. 

•'Listen”,  Mr.  Mills  replied,  "I'm  not  going  fishing  this 
afternoon,  and  I  am  just  as  much  worried  about  the  outcome  of  the 
fight  with  the  broadcasters  as  I  am  about  the  fish  I'm  not  going 
to  catch  this  afternoon. " 

XXXXXXXXXX 


CHICAGO  POLICE  TRY  FM  ON  LARGE  SCALE 


The  Federal  Communications  Commission  has  authorized  the 
Chicago  Police  Department  to  construct  200  new  experimental  Class  2 
municipal  police  stations  to  conduct  an  experimental  program  of 
research  in  connection  with  the  determination  of  the  practicability 
of  frequency  modulation  as  applied  to  the  police  service.  The  fre¬ 
quencies  assigned  are  35,100,  35,200  kc.,  with  30  watts  power. 

Authority  has  also  been  granted  to  communicate  as  munici¬ 
pal  police  stations  in  the  emergency  service  on  an  experimental 
basis  subject  to  the  condition  that  no  interference  is  caused  to 
stations  operating  on  these  frequencies  or  adjacent  frequencies. 

xxxxxxxx 


RADIO  ENGINEERS'  CONVENTION 


Discussions  of  frequency  modulation,  as  veil  as  televi¬ 
sion,  promise  to  feature  the  annual  Fall  Convention  of  the  Institute 
of  Radio  Engineers  at  Rochester,  N.  Y. ,  November  11-13.  The  Roch¬ 
ester  section  of  I.R.E.  is  now  preparing  for  an  interesting  pro¬ 
gram,  including  many  prominent  speakers  and  the  reading  of  technical 
papers.  The  usual  exhibit  of  radio  components  also  will  be  held 
at  the  Sagamore  Hotel. 

The  Rochester  convention  will  be  in  charge  of  the  Insti¬ 
tute's  Rochester  section  and  Virgil  M.  Graham,  Assistant  Director 
of  the  RMA  Engineering  Department. 

X  X  X  X  X  X  X  X  X 
-  8  - 


10/8/40 


TRADE  NOTES 


General  Electric  Company  employees  who  are  called  for 
military  service  or  those  who  voluntarily  enlist  for  the  12  months’ 
training  period,  will  receive  a  full  month’s  pay  and  be  granted  a 
year's  leave  of  absence.  At  the  expiration  of  military  service, 
employees  will  be  restored  to  their  former  positions  or  to  posi¬ 
tions  of  like  seniority,  status  and  pay,  unless  circumstances  make 
it  impossible  or  unreasonable  to  do  so. 


Ashton  Dunn,  Superintendent  of  Training  in  the  Personnel 
Division  of  the  National  Broadcasting  Company,  has  been  appointed 
Personnel  Manager.  Mr.  Dunn  came  to  NBC,  June  1,  1937,  from  R.  H. 
Macy  &  Co.,  where  from  1931  to  1937  he  was  in  the  Training  Depart¬ 
ment,  becoming  Assistant  Director  of  Executive  Placement. 

The  Freed  F&dio  Corporation  has  prepared  a  booklet  "The 
ABC  of  FM"  putting  into  words  of  one  syllable  the  story  of  fre¬ 
quency  modulation.  The  booklet  was  prepared  by  the  Freed-Eisemann 
technical  and  research  department. 


The  St.  Louis  Public  Service  Co. ,  has  been  granted  a 
construction  permit  by  the  Federal  Communications  Commission  for  a 
new  special  emergency  station,  31460  kilocycles,  250  watts  power 
and  authority  to  operate  by  remote  control.  The  company  was  also 
granted  construction  permit  for  21  new  portable-mobile  units  to 
become  part  of  their  special  emergency  system,  frequency  31460 
kilocycles,  15  watts. 


C-uy  C.  Hickok,  Director  of  the  International  Division 
of  the  National  Broadcasting  Company  has  left  by  Clipper  ship  for 
an  extensive  combination  business  and  pleasure  trip  to  South 
America.  He  will  visit  the  major  South  American  countries  and 
make  stopovers  in  Rio  de  Janeiro,  Buenos  Aires,  Santiago,  Aries., 
La  Paz,  Lima  and  Quito.  He  will  return  to  Miami  via  Cristobal  on 
October  31st. 


Ten  scholarships  in  radio  training,  offered  jointly  by 
the  WLW  Educational  Department  and  the  Radio  Deps.rtment  of  the 
Cincinnati  College  of  Music,  have  been  msde  available.  The  scholar¬ 
ships  are  each  valued  at  SlOO,  and  will  entitle  the  recipient  to 
one  year's  tuition  in  residence  at  the  college  in  three  out  of  four 
radio  courses.  The  courses  are:  radio  production,  radio  inter¬ 
pretation  (acting),  radio  announcing  and  radio  sound  effects 
engineering. 


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10/8/40 


Almost  15,000  requests  were  received  last  week  on  the 
giveaways  offered  on  the  Elliott  Roosevelt  broadcasts,  Station  MCA 
reports.  Capt .  Roosevelt,  incidentally,  finished  his  MCA  and  net¬ 
work  series  this  week  as  he  begins  to  take  up  active  duty  with  the 
Army  Air  Corps  in  connection  with  the  Government  defense  program. 


Station  WKIP ,  Poughkeepsie,  N.Y.,  became  affiliated  with 
the  Blue  Network  of  the  National  Broadcasting  Company  on  October 
6th.  This  makes  200  affiliates  that  NBC  has  and  three  more  sta¬ 
tions  will  be  added  by  January  1. 


"Elements  of  Acoustical  Engineering"  it  the  title  of  a 
book  by  Harry  F.  Olson,  E.E.,  Ph. D. ,  Director  of  Acoustical 
Research,  RCA  Manufacturing  Company  and  Lecturer  in  Electrical 
Engineering  at  Columbia  University.  The  price  is  $6.00,  and  the 
publishers,  D.  Van  Nostrand,  Inc.,  250  Fourth  Avenue,  New  York  City. 


Arthur  A.  Brandt,  who  for  three  years  has  been  associated 
with  the  advertising  and  promotional  activities  in  connection  with 
General  Electric  radio,  has  been  appointed  General  Sales  Manager 
for  G-E  radio  and  television  receivers  with  headquarters  in  Bridge¬ 
port,  Conn. 


The  State  University  of  Iowa  has  announced  plans  to  hold 
the  First  Annual  Iowa  Radio  Conference  in  Iowa  City  on  October  17, 
18,  and  19th.  While  the  conference  is  designed  primarily  for 
broadcasters  in  Iowa,  it  will  deal  with  problems  common  to  all 
radio  and  will  be  of  interest  to  educators  and  broadcasters  alike. 


XXXXXXXX 


STATIONS  SEEK  MORE  POWER 


Requesting  the  facilities  of  KGGF,  Coffeyville,  Kans. , 
WNAD,  Norman,  Okla. ,  and  KFEQ,  St.  Joseph,  Mo. ,  as  proposed  by  the 
North  American  Regional  Agreement,  Station  KMBC  seeks  to  change 
its  frequency  from  950  to  690  kilocycles,  and  to  increase  power 
from  5  to  50  kilowatts. 


Station  KYA,  Hearst-owned,  in  San  Francisco,  has  asked 
to  be  put  on  the  frequency  of  560  kilocycles  and  for  an  increase 
to  5  kilowatt  power. 


xxxxxxxxxx 


10  - 


10/8/40 


RCA  STANDS  BY  EMPLOYEES  ENTERING  SERVICE 


All  employees  of  the  Radio  Corporation  of  America  and  its 
subsidiaries,  of  six  months  or  more  standing,  who  may  be  called  or 
who  may  volunteer  for  service  in  the  armed  forces  of  the  United 
States,  will  be  paid  the  difference  between  what  they  earn  in  their 
last  month  of  employment  and  what  they  receive  for  their  first 
month's  service. 

This  announcement  was  made  by  David  Sarnoff,  President  of 
RCA,  following  the  regular  meeting  of  the  corporation's  Board  of 
Directors. 


The  Directors  also  decided,  Mr.  Sarnoff  said,  that,  in 
addition  to  all  other  rights  and  privileges  to  be  provided  by  the 
corporation  under  the  Selective  Service  Act,  the  corporation  will 
continue  in  force  for  one  year,  the  group  life  insurance  of  those 
who  may  be  called  or  who  may  volunteer  for  service.  The  RCA  will 
pay  the  full  premium,  including  the  employee's  portion. 

Besides  employees  of  the  Radio  Corporation  of  America, 
these  provisions  will  apply  to  employees  of  the  National  Broadcast¬ 
ing  Company,  RCA  Manufacturing  Company,  R.  C.A.  Communications,  Inc., 
Radiomarine  Corporation  of  America  and  RCA  Institutes,  Inc. 

xxxxxxxxx 

m  .  w 

WCR  TELEVISION  STATION  TO  BE  ON  AIR  IN  9  MONTHS 

The  new  WOR  television  station  will  be  on  the  air  within 
six  to  nine  months.  This  was  the  announcement  made  recently  by 
J.  R.  Poppele,  Chief  Engineer  of  WOR,  following  the  news  from 
Washington  that  the  Federal  Communications  Commission  had  formally 
confirmed  the  grant  of  a  television  license  to  the  Bamberger  Broad¬ 
casting  Service,  Inc.,  operatcrs  of  WOR. 

Tests  to  determine  the  transmitter  site  will  be  started 
immediately.  A  studio  will  be  constructed  at  1440  Broadway,  where 
WOR's  New  York  broadcasting  studios  are  located.  An  auxiliary 
television  studio  will  orobably  also  be  built  at  the  transmitter 
point. 


The  WOR  television  station,  the  fourth  in  the  Metropoli¬ 
tan  area,  will  operate  on  Channel  Number  6  (92-102  megacycles).  A 
daily  program  service,  offering  two  hours  of  telecasts  in  the  after¬ 
noon  and  two  hours  in  the  evening,  is  planned.  An  increase  in 
operating  hours  will  depend  largely  upon  public  acceptance. 

A  minimum  of  one  hundred  thousand  dollars  has  been  set 
aside  by  WOR  for  the  initial  television  operations,  Mr.  Poppele 
stated.  An  extensive  research  and  experimentation  in  the  techni¬ 
cal,  program  and  production  problems  of  the  new  medium  will  be 
carried  on. 

XXXXXXXXX 

-  11  - 


i 


10/8/40 


NEW  JOB  CREATED  FOR  JOHN  ROYAL 


John  Royal,  for  many  years  Vice-President  in  Charge  of 
Programs,  at  the  National  Broadcasting  Company,  has  been  appointed 
to  a  newly  created  position  -  Vice-President  in  charge  of  plans 
having  to  do  with  New  Activities  and  Developments  in  Broadcasting 
as  they  relate  to  promotional,  programming  and  commercial  problems. 
Thus  John  will  have  about  the  longest  title  of  any  of  the  numerous 
NBC  Vice-Presidents. 

It  is  explained  that  the  position  will  combine  under  one 
direction,  necessary  developmental  work  in  programming  and  general 
public  service  in  the  fields  of  Television,  Frequency  Modulation, 
Facsimile  and  Short  Wave  broadcasting. 

Mr.  Royal ls  former  position,  it  was  stated,  would  be 
filled  in  the  near  future. 

j  XXXXXXXXXX 


G.E.  TAKES  OVER  COMPLETE  OPERATION  OF  WGY 


General  Electric  has  taken  over  the  complete  operation  of 
WGY,  popular  50-kilowatt  broadcasting  station  established  in 
Schenectady  more  than  18  years  ago,  it  has  been  announced  by 
Robert  S.  Peare,  Manager  of  Broadcasting  and  Publicity  for  the 
company.  Since  1931  this  station  has  been  operated  by  the  National 
Broadcasting  Company. 

Kolin  Hager,  manager  of  the  station  since  its  inaugura¬ 
tion  in  February,  1922,  with  the  exception  of  two  years,  will  con¬ 
tinue  as  manager.  Under  the  new  arrangement  WGY  will  be  affiliated 
with  the  National  Broadcasting  Company  and  will  continue  to  utilize 
the  red  network. 

The  technical  operations  of  the  station  will  continue 
under  the  direction  of  another  pioneer  in  the  art,  W.  J.  Purcell. 

When  WGY  was  started  in  1922,  it  used  but  1500  watts  of 
power.  This  was  soon  increased  to  500  watts.  In  1924  the  General 
Electric  Company  completed  the  construction  of  a  great  transmitter 
laboratory  on  a  54-acre  plot  at  South  Schenectady  and  the  WGY 
transmitter  was  moved  from  within  the  Schenectady  factory  to  the 
new  location. 


XXXXXXXXXX 


12  - 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


)C 


ISSUE  OF  OCTOBER  11,  1940 


Young  Rockefeller  Makes  First  Washington  Speech . 8 

RCA  Gets  $7, 000,000  War  Order . 4 

Elliott  Still  Target;  Income  Was  $76,000 . 4 


Great  Lakes  Radiophone  Rates  Found  Unreasonable . . . 5 

Allied  Printing  Trades  Speech  Comeback . 5 

Cautions  Willkie  To  Watch  Step  On  Radio . 6 

German  Television  Pioneer  Dies . 6 

To  Determine  FM  Sky-Wave  Interference . 7 

Coast  Guard  Radiomen  Class . ,7 

BBC  Now  Broadcasts  News  In  Cypriot . 7 

Trade  Notes . 8 

Four  Stations  On  780  KC  Boosted . 9 


Trammell  Continues  NBC  Changes . 10 

Gallup  Poll  Favors  Red  Ban . 10 

Former  FCC  Counsel  To  Practice  Law . 11 

Spanish  Concern  Asks  Government  Recognition . 11 

Samoff  Foresees  Unprecedented  Scientific  Advances . 11 


No.  1873 


YOUNG  ROCKEFELLER  MAKES  FIRST  WASHINGTON  SPEECH 


Despite  the  report  that  Nelson  A.  Rockefeller,  Presi¬ 
dent  of  Rockefeller  Center  and  Coordinator  of  Latin  American 
Economic  and  Cultural  Problems  of  the  National  Defense  Commission 
would  inaugurate  an  elaborate  exchange  of  short-wave  radio  pro¬ 
grams  between  the  United  States  and  our  neighbors  to  the  South, 
only  casual  mention  of  radio  was  made  when  Mr.  Rockefeller,  in 
his  maiden  speech  in  Washington  addressed  the  National  Press  Club 
Wednesday.  Because  his  talk  was  "off  the  record",  it  is  not  per¬ 
missible  to  tell  what  he  said. 

Someone  observed  after  hearing  the  address  that  evi¬ 
dently  what  Mr.  Rockefeller  proposed  to  do  was  largely  a  dupli¬ 
cation  of  what  is  already  being  done  by  the  State  and  Commerce 
Departments.  It  seemed  to  be  the  impression  that  the  field  Mr. 
Rockefeller  was  entering  was  already  well  covered  by  the  Govern¬ 
ment. 

Among  those  at  the  guest  table  were  Dr.  Stanley  K. 
Hornbeck,  Advisor  on  Political  Relations  in  the  State  Department; 
Mr.  Ben  M.  Cherrington,  Chief  of  the  Division  of  Cultural  Rela¬ 
tions  of  the  State  Department,  and  Michael  J.  McDermott,  genial 
Chief  of  the  State  Department  Press  Division.  There  were  also 
officials  from  the  Commerce  Department.  This  turnout  caused  Mr. 
Rockefeller  to  laughingly  remark  that  he  didn’t  know  that  all  of 
the  other  cultural  experts  in  Washington  would  be  there  to  listen 
to  him.  Few  members  of  the  Latin- American  Diplomatic  Corps 
were  present.  About  300  attended  the  luncheon. 

A  critic  of  the  Administration  professed  to  see  a 
political  angle  in  Mr. Rockefeller’ s  present  assignment. 

"Election  isn’t  far  off",  he  remarked.  "Lining  up  a 
man  with  a  big  and  influential  name  like  Rockefeller  just  at  this 
time  when  the  Administration  is  out  seeking  the  votes  of  all 
classes  and  is  particularly  desirous  of  those  of  the  conservative 
element,  would  be  the  same  as  taking  on  somebody  like  Edsel  Ford 
during  the  campaign.  I  think  young  Mr. Rockefeller  was  brought  in 
by  the  President  more  or  less  as  political  window-dressing." 

Nevertheless,  Mr.  Rockefeller  proved  himself  an  inter¬ 
esting  and  capable  speaker,  showed  excellent  judgment  in  making  his 
talk  short,  and  what  he  had  to  say  apparently  got  over  in  good 
shape.  In  appearance  young  Rockefeller  reminded  those  of  the 
radio  industry  of  Philip  Loucks,  former  secretary  of  the  National 
Association  of  Broadcasters,  if  Phil  were  taller  and  younger. 


10/11/40 


Mr.  Rockefeller,  a  son  of  John  D.  Rockefeller,  Jr.  , 
now  32  years  old,  obtained  his  preparatory  education  at  the 
Lincoln  School  of  Teachers  College  in  New  York,  and  an  A.B.  from 
Dartmouth.  He  is  a  Trustee  of  the  Modern  Museum  of  Art  in  New 
York  City,  which  last  Summer  featured  a  series  of  program  of 
modem  music  of  Mexico,  directed  by  the  famous  Mexican  conductor, 
Carlos  Chavez. 

Mr.  Rockefeller  announced  Thursday  that  James  W.  Young, 
Director  of  the  Bureau  of  Foreign  and  Domestic  Commerce,  would 
serve  as  Director  of  the  Communications  Division  on  the  Coordi¬ 
nator's  staff,  in  charge  of  press,  radio  and  motion  pictures,  Mr. 
Young  is  expected  to  retain  his  Commerce  Department  post.  He  has 
been  Director  of  the  Bureau  of  Foreign  and  Domestic  Commerce  since 
September,  1939.  Mr.  Young  was  born  in  Covington,  Ky.  ,  January  20, 
1886,  and  educated  in  the  public  schools  of  Covington.  Beginning 
as  an  office  boy  in  the  J.  Walter  Thompson  Advertising  Company  in 
New  York,  and  later  stenographer,  he  finally  became  a  Vice-Presi¬ 
dent  of  the  company.  Later  Mr.  Young  was  Chairman  of  the  Board 
of  the  Lane  Company  in  San  Francisco.  He  was  Professor  of  Busi¬ 
ness  History  and  Advertising  in  the  University  of  Chicago,  1931-35; 
President  of  the  Board  of  Trustees  of  the  Laboratory  of  Anthro¬ 
pology,  Santa  Fe ,  N.M. ,  and  past  president  of  the  American 
Association  of  Advertising  Agencies.  Mr.  Young  was  the  author  of 
"Advertising  Agency  Compensation" ,  published  in  1934,  and  is 
editor  of  the  "Papers  of  the  Association  of  Advertising  Agencies". 

Mr.  Rockefeller  has  also  appointed  John  Hay  (Jock) 
Whitney,  socially  prominent  sportsman  to  his  staff.  As  a  dollar- 
a-year  man,  Whitney  will  work  on  motion  pictures. 

Mr.  Rockefeller  is  scheduled  for  two  coast-to-coast  radio 
broadcasts  to  tell  the  public  about  the  Latin-American  work  he  is 
undertaking.  On  Tuesday,  October  15th,  he  will  laud  the  Pan- 
American  highway  as  a  means  of  improving  friendly  relations 
between  the  Americas  when  he  appears  as  guest  of  honor  at  a  din¬ 
ner  of  the  Auromobile  Manufacturers'  Association  and  the  Pan- 
American  Highway  Confederation  in  New  York  City. 

The  dinner  will  be  broadcast  over  the  NBC-Blue  Network 
from  9:35  to  10:00  P.M. ,  from  the  Empire  Room  of  the  Waldorf- 
Astoria  Hotel. 

Mr.  Rockefeller,  along  with  Wendell  L.  Willkie,  Mrs. 
Roosevelt,  Col.  Frank  Knox,  Secretary  of  the  Navy,  and  others  of 
prominence,  will  participate  in  the  New  York  He raid- Tribune  Forum 
on  current  problems  to  be  held  in  New  York.  His  speech  on 
"Coordinating  the  Culture  of  the  Americas"  will  be  carried  by 
the  Blue  Network  of  the  National  Broadcasting  Company  in  the  ses¬ 
sion  beginning  at  2  o’clock  Wednesday  afternoon,  October  23. 

Mr.  Winthrop  Rockefeller,  a  brother,  will  speak  at  the  morning 
session  of  the  Forum  that  day  on  "Aviation  Training  for  the 
Young.  " 

XXXXXXXXXX 
-  3  - 


10/11/40 


RCA  GETS  $7, 000,000  WAR  ORDER 


The  Radio  Corporation  of  America  Thursday  received  an 
order  for  $7,605,773  for  radio  receivers  from  the  War  Department. 
The  Philco  Corporation  of  Philadelphia,  a  $671,000  order  for  sets. 


William  S.  Knudsen,  National  Defense  Commissioner  in 
charge  of  production,  said  that  contracts  have  been  signed  in 
connection  with  the  Defense  Program  to  a  total  of  $8,000,000,000. 
A  total  of  $4,000,000,000  in  appropriations  or  contract  authori¬ 
zations  remains  to  be  contracted  for  and  the  completion  of  this 
is  expected  to  be  by  November  1st. 


xxxxxxxxx 


ELLIOTT  STILL  TARGET;  INCOME  WAS  $76,000 


The  following  exchange  took  place  between  Representa¬ 
tive  John  C.  Schafer  (R.  ),  of  Wisconsin,  and  Speaker  Sam  Rayburn 
in  the  House  of  Representatives: 

"Mr. Speaker,  I  ask  unanimous  consent  to  address  the 
House  for  1  minute. " 

"Is  there  objection?"  There  was  no  objection. 

"Mr.  Speaker,  I  wish  to  announce  to  the  Members  of 
the  House  and  to  the  country  that  our  distinguished 
colleague  the  gentleman  from  New  York,  Hon.  Hamilton 
Fish,  this  evening  at  10:30  o'clock  p.m. ,  over  a 
hook-up  of  the  National  Broadcasting  System,  will 
discuss  a  very  interesting  subject,  Conscription 
and  Capt.  Elliott  Roosevelt.  "  (Laughter)  "If,  how¬ 
ever,  before  10:30  this  evening  Capt.  Elliott  Roose¬ 
velt  is  made  a  general  in  charge  of  the  Procurement 
Division  of  the  Army  Air  Corps  the  gentleman  from 
New  York  will  have  to  discuss  the  subject,  Conscrip¬ 
tion  and  Gen.  Elliott  Roosevelt.  "  (Laughter  and 
applause ) . 

According  to  a  newspaper  dispatch  from  Fort  Worth,  the 
books  of  the  Texas  State  Network  showed  that  Elliott  Roosevelt 
gave  up  an  annual  income  of  at  Deast  $76,000  to  serve  in  the  Army. 

G.  T.  Stanley,  Treasurer  of  the  network  of  which  young  Roosevelt 
was  President,  organizer  and  principal  stockholder,  said  that 
Elliott,  as  Managing  Director,  received  $24,000  a  year  in  salary. 
The  salary  was  increased  by  slightly  more  than  $1,000  a  week  which 
he  received  from  a  tooth-powder  company  for  weekly  comment  pro¬ 
grams. 

Mrs. Ruth  Roosevelt,  Elliott’s  wife,  is  now  President  of 
the  Texas  State  Network  and  has  been  designated  his  representa¬ 
tive  in  operation  of  his  radio  properties  and  also  to  represent 
him  as  chief  stock-holder. 

XXXXXXXX  ~  4  - 


Mr.  Schafer: 

The  Speaker: 
Mr.  Schafer: 


10/11/40 


GREAT  LAKES  RADIOPHONE  RATES  FOUND  UNREASONABLE 


The  rate  schedules  of  Lorain  County  (Ohio)  Radio  Corp. , 
consisting  of  a  $25  a  month  ready-to-serve  charge  per  ship  plus 
charges  of  75  cents  to  $1.00  for  each  3-minute  message  and  another 
rate  of  $1.50  per  message  for  occasional  users  of  radiotelephone 
service  between  ships  on  the  Great  Lakes  and  Lorain  Corporation 
stations  at  Lorain,  Ohio;  Duluth,  Minn.,  and  Port  Washington, 

Wis.,  have  been  found  unreasonable  by  the  Federal  Communications 
Commission.  These  cases  also  involved  the  rates  and  practices 
of  Thorne  Donnelley,  doing  business  as  Donnelley  Radio  Telephone 
Company,  for  like  service  through  his  station  at  Lake  Bluff, Ill. 
The  Commission  also  cited  certain  illegal  practices  of  both 
carriers. 

In  the  matter  of  the  Lorain  Corporation,  the  Commission 
finds  the  charging  of  a  higher  rate  for  a  call  to  or  from  a  sta¬ 
tion  on  a  ship  which  does  not  contract  to  pay  the  Lorain  ready- 
to-serve  charge  than  for  a  like  call  to  or  from  a  station  on  a 
subscribing  ship  is  an  unjust  discrimination  against  persons 
calling  to  or  from  ship  stations  on  non- subscriber  ships  and 
declares  the  suspended  Lorain  tariffs  unlawful. 

With  respect  to  Lorain  and  Donnelley  radiotelephone 
service  jointly,  the  Commission  holds  with  reference  to  the  former 

•'The  ready-to-serve  charge  unjustly  discriminates 
against  the  small  user,  against  the  user  who  has  no  need  for 
Lorain  inspection  service,  and  against  the  user  equipped  with 
ship  station  equipment  which  Lorain  is  not  competent  to  inspect, 
and  is  unjust  and  unreasonable  and  therefore  unlawful. " 

XXXXXXXXXX 


ALLIED  PRINTING  TRADES  SPEECH  COMEBACK 


A  subscriber  writes: 

"It  is  too  bad  that  you  can't  make  facetious  comments 
after  your  articles,  because  it  would  have  been  so  nice  for  you 
to  have  said  after  the  first  page  article  in  the  September  24th 
issue,  wherein  John  Haggerty,  President  of  the  International 
Allied  Printing  Trades  Association  set  forth  his  blast,  that  you 
had  heard  the  story  so  many  times  before:  from  the  stage  coach 
drivers  when  they  saw  the  railroads  coming,  and  the  livery  stable 
owners  when  they  saw  the  automobile  come. 

"Think  of  the  poor  carriage,  whip  and  harness  manu¬ 
facturers  that  the  automobiles  put  out  of  business. 

"They  should  have  been  stopped!  " 

XXXXXXXX 
-  5  - 


J 


10/11/40 


CAUTIONS  WILLKIE  TO  WATCH  STEP  ON  RADIO 


Alfred  M.  Landon,  former  Republican  candidate  for 
President,  gives  the  following  radio  advice  to  Wendell  Willkie 
in  the  current  issue  of  Look  Magazine : 

"Much  of  the  present  campaign  will  be  fought  by  radio. 
And,  though  he  (Mr.  Willkie)  is  an  able  speaker,  Willkie  must 
remember  that  he  is  matched  against  one  of  the  most  effective 
radio  broadcasters  of  all  times.  This  is  important  because  today 
thousands  of  voters  form  their  judgments  from  the  speeches  that 
come  from  the  loudspeakers  and  from  the  newsreels.  Once  the 
campaign  is  under  way,  speech  follows  speech,  appearance  follows 
appearance,  problem  follows  problem  -  all  under  constantly  mount¬ 
ing  tension.  Yet  there  can  be  no  letdown  in  his  addresses. 


"President  Roosevelt*  s  clever  use  of  radio  makes  him  a 
strong  campaigner.  As  he  speaks  into  a  microphone,  he  realizes 
that  30  million  people  are  judging  him  not  especially  by  what  he 
says  but  by  how  he  says  it.  The  President  is  a  natural  political 
actor.  He  is  most  effective  when  dramatizing  his  own  personality. 
Much  of  his  life  has  been  spent  in  political  activity  and  he  has 
the  self-confidence  that  comes  to  a  veteran  of  the  spotlight. 

He  is  a  great  showman.  Willkie  must  match  this  dramatic  appeal 
with  his  own  brand  of  showmanship;  he  must  not  hesitate  to  capital¬ 
ize  on  his  own  colorful,  dynamic  personality. " 


XXXXXXXX 


GERMAN  TELEVISION  PIONEER  DIES 


Dr.  Paul  Nipkow,  pioneer  in  the  field  of  radio  television 
died  in  Berlin  recently,  shortly  after  celebrating  his  eightieth 
birthday. 


Dr.  Nipkow  patented  an  invention  which  he  described  as 
an  "electrical  telescope"  as  early  as  1884,  but  was  unable  to  pay 
the  costs  of  extending  the  patent.  It  was  only  six  years  ago 
that  Dr.  Nipkow  finally  gained  public  recognition  and  was  made 
Honorary  President  of  the  newly  founded  German  Television  Society. 

Although  the  "Nipkow  Disk"  has  been  superseded  in  recent 
years  by  other  devices,  it  played  an  essential  part  in  all  the 
early  developments  of  television. 

XXXXXXXXX 


6 


■ 


10/11/40 


TO  DETERMINE  FM  SKY-WAVE  INTERFERENCE 


Authority  has  been  granted  Station  W9XA  in  Kansas  City, 
Mo. ,  by  the  Federal  Communications  Commission  to  operate  on  a 
frequency  of  26,300  kilocycles,  using  a  maximum  power  of  1000 
watts,  special  emission  (FM)  in  cooperation  with  the  licensee  of 
high  frequency  broadcast  station  W2XJI,  for  a  period  not  to  ex¬ 
ceed  30  days,  to  conduct  and  determine  the  extent  of  mutual  sky- 
wave  interference  existing  between  two  stations  operating  with 
1  kilowatt  on  26300  kilocycles,  employing  frequency  modulation, 
and  to  determine  to  what  field  strength  contour  of  the  desired 
station  the  interfering  station  whose  transmissions  are  received 
via  sky-wave  will  interfere  with  program  reception  of  the  desired 
station  in  its  own  coverage  area. 

XXXXXXXX 


COAST  G-UARD  RADIOMEN  CLASS 


Prospective  Coast  Guard  radiomen  have  assembled  at 
Fort  Trumbull  Training  Station,  New  London,  Conn. ,  for  intensive 
training  in  the  operation  of  the  radio  equipment  in  use  in  the 
Service.  Classes  will  include  not  only  training  in  code  but 
will  cover  all  the  operating  procedure  encountered  in  the  handling 
of  routine  and  emergency  messages. 

This  class  is  one  of  those  which  is  assembled  at  Fort 
Trumbull  every  3  months  for  the  purpose  of  maintaining  the  supply 
of  radiomen  for  the  Service.  Each  class  is  composed  of  about  50 
students.  The  Coast  G-uard  headquarters  is  particularly  desirous 
at  this  time  to  maintain  the  full  quota  of  radiomen  and  invites 
applications  from  men  desirous  of  receiving  radio  training. 

XXXXXXXX 


BBC  NOW  BROADCASTS  NEWS  IN  CYPRIOT 


One  of  the  most  remarkable  developments  of  the  war  has 
been  the  increase  in  the  foreign  language  broadcasts  of  the  Europ¬ 
ean  short-wave  stations.  For  instance,  since  September  16,  news 
in  Cypriot  has  been  a  daily  feature  of  the  British  Broadcasting 
Corporation’s  Overseas  Service.  The  bulletin,  which  follows  im¬ 
mediately  upon  the  evening  bulletin  in  Greek,  is  broadcast  at 
1:45  P.M.  ,  *EST,  on  the  frequency  of  GSC  (9.58  me.,  31.32  meters). 

The  BBC  is  now  broadcasting  every  day  fifty-five  news 
bulletins  in  twenty- two  languages  other  than  English,  Welsh,  and 
Gaelic.  In  addition,  the  Overseas  Service  includes  regular  trans¬ 
missions  in  Maltese  and  Burmese. 

XXXXXXXX 

-  7  - 


10/11/40 


: :  TRADE  NOTES 


The  radio  industry  showered  congratulations  on  Powel 
Crosley,  Jr. ,  owner  of  the  Cincinnati  Baseball  Reds  winning  the 
World's  championship.  It  was  the  first  World  Series  to  go  to 
Cincinnati  in  21  years  and  Powel  was  hailed  as  a  conquering  hero. 


Charles  E.  Wilson,  President  of  the  General  Electric 
Company,  has  announced  a  $50,000,000  expansion  program  for 
National  Defense.  This  will  include  new  facilities  for  manu¬ 
facturing  radio  transmitters  and  receivers  for  the  Army  and  Navy 
Signal  Corps.  - — - 


What  is  described  as  a  radical  new  treatment  of  the 
acoustical  problem  presented  by  record  surface  and  mechanical 
noises  present  in  all  phonographs,  the  "Tone  Guard",  has  been 
developed  by  RCA  engineers  at  Camden,  and  incorporated  in  the  new 
RCA  Victrola  home  entertainment  instruments.  It  is  a  simple 
system  of  grooved  wells  around  the  inside  edge  of  the  phonograph 
compartment  directly  beneath  the  lid.  It  does  not  attempt  to 
block  out  extraneous  sounds,  but  to  capture  them.  It  is  actually 
a  tuned  acoustical  filter. 


Station  WLOF,  Orlando,  Florida,  will  become  an  affil¬ 
iate  of  the  National  Broadcasting  Company,  October  21,  bringing 
the  total  of  NBC  affiliates  announced  to  date  to  204. 


The  Bureau  of  Foreign  and  Domestic  Commerce  in  its 
"World  Radio  Markets"  series,  has  issued  reports  on  Guatemala, 
Ecuador  and  Paraguay. 


An  application  has  been  made  by  Station  WTMA  at 
Charleston,  S.c. ,  to  change  its  frequency  from  1210  to  1220  kilo¬ 
cycles  and  to  increase  power  to  1  KW. 


The  first  two-way  amateur  radio  television  circuit  in 
New  York  City  has  been  set  up  by  the  W2USA  Radio  Club  between 
Club  headquarters  in  the  Communications  Building  at  the  New  York 
World's  Fair,  and  the  top  floor  of  the  40-story  Daily  News  build¬ 
ing  eight  miles  away  in  Manhattan.  The  installation  comprises 
camera  and  receiving  equipment  at  each  studio  so  that  each  opera¬ 
tor  can  see  and  be  seen,  hear  and  be  heard. 


-  8  - 


I 


10/11/40 


Hygrade  Sylvania  Corporation  -  Eight  months  ended  on 
Aug.  31:  Net  profit,  $548,716,  equal,  after  dividends  on  the 
preferred  stock,  to  $2.21  a  share  on  the  outstanding  common  stock. 


R.  C.  A. 

August  gross 
Net  income 
8  months1  gross 
Net  income 


Communications  -  August  and  eight  months: 
1940  1939 


$610,225 
112, 254 
5,067,235 
1,005,775 


$  467,747 
55, 632 
3,601,035 
288,918 


Radiomarine  Corporation  -  August  and  eight  months. 


August  gross 
Net  income 
8  months’  gross 
Net  income 


$  74,696 

14,265 
604, 536 
132,871 


81,607 
13,206 
603, 629 
93,015 


The  colony  of  Lourenco  Marques  in  Portuguese  East 
Africa  offers  a  small  but  steady  demand  for  radio  receivers,  the 
American  Consul  advises.  The  principal  American  and  foreign  radio 
manufacturers  are  represented  by  local  agents  at  Lourenco  Marques 
and  Beira.  According  to  latest  official  statistics,  2,910  receiv¬ 
ing  sets  are  registered  for  license  purposes.  Of  this  number  a 
Dutch  product  leads  with  743  sets,  two  American  makes  are  next 
with  396  and  292  sets,  respectively,  a  British  produce  (His 
Master's  Voice)  isfourth  with  278  sets,  and  another  American  make 
is  fifth  with  246  sets. 

XXXXXXXXXXX 


FOUR  STATIONS  ON  780  KC  BOOSTED 


Four  stations  on  780  kilocycles,  in  widely  reported 
parts  of  the  country  -  KOHL,  Billings,  Mont.,  WEAN,  Providence, 

R.  I.,  WTAR,  in  Norfolk,  Va. ,  and  KECA,  Los  Angeles,  have  been 
authorized  to  increase  their  present  power  of  1  KW  to  5  KW, 
according  to  the  Federal  Communications  Commission. 

XXXXXXXX 

In  July  1940,  licenses  issued  to  radio  listeners 
in  Switzerland  numbered  4,726,  bringing  the  total  number  of 
licensed  receiving  sets  in  that  country  to  611,307,  the  American 
Consulate  General  at  Zurich  reports. 

XXXXXXXX 


9 


10/11/40 


TRAMMELL  CONTINUES  NBC  CHANCES 


In  a  general  NBC  shakeup  by  Niles  Trammell,  new  Presi¬ 
dent,  Sidney  N.  Strotz,  formerly  in  charge  of  the  Central  Divi¬ 
sion  at  Chicago,  succeeds  John  Royal  as  Vice-President  in  Charge 
of  Programs.  Harry  C.  Kopf,  Sales  Manager  in  Chicago,  will  suc¬ 
ceed  Mr.  Stroti. 


Frank  E.  Mason  will  relinquish  his  supervision  of  the 
International  Short  Wave  Department  to  concentrate  on  his  duties 
as  Vice  President  in  charge  of  the  Information  Department.  L.  P. 
Yandell,  who  formerly  handled  commercial  short  wave  international 
broadcasting,  has  been  appointed  Manager  of  the  International 
Short  Wave  Department.  Clayland  Morgan,  formerly  Assistant  to 
the  President  in  Charge  of  Public  Relations,  becomes  Director 
of  Institutional  Promotional. 


John  Royal,  as  previously  stated,  now  heads  the  newly 
created  post  of  New  Activities  and  Developments  in  Broadcasting. 


xxxxxxxx 

GALLUP  POLL  FAVORS  RED  BAN 


In  this  vote,  a  Gallup  Poll  indicated  thumbs  down  on 
allowing  Reds  to  broadcast: 

"Should  Communist  party  candidates  be  allowed  the  same 
amount  of  time  on  the  radio  as  the  Democratic  and  Republican 
candidates  ?" 

Yes . 29$ 

No . 71$ 

"Do  you  think  Communist  party  candidates  should  be 
allowed  any  time  on  the  radio?" 

Yes . 37$ 

No . 63$ 


"Should  Communist  party  candidates  be  allowed  the  same 
amount  of  free  time  on  the  radio  as  the  Democratic  and  Republican 
candidates  ? " 

Yes . 25$ 

No . 75$ 


"Do  you  think  Communist  party  candidates  should  be 
allowed  any  free  time  on  the  radio?" 

Yes . 31$ 

No . 69$ 


xxxxxxxxxx 


10  - 


f  r 


10/11/40 


FORMER  FCC  COUNSEL  TO  PRACTICE  LAW 


Former  Assistant  General  Counsel  George  B.  Porter, 
who  resigned  on  July  31  last,  terminated  his  pay-roll  status 
with  the  Commission  on  October  7th,  and  is  now  engaged  in  the 
private  practice  of  law  in  Washington,  D.  C. 

Since  creation  of  the  Commission  in  1934,  Mr.  Porter 
has  been  in  charge  of  legal  matters  affecting  broadcasting. 
Before  that  time  he  was  Acting  General  Counsel  of  the  Federal 
Radio  Commission,  which  he  joined  in  1931. 

Mr.  Porter  is  associated  with  A.  G.  Haley  under  the 
firm  name  of  Porter  and  Haley. 

XXXXXXXXXX 


SPANISH  CONCERN  ASKS  GOVERNMENT  RECOGNITION 


"Marconi  Espanola,  S.A. ”,  a  Spanish  radio  concern  in 
Madrid,  which  has  been  manufacturing  under  license  from  the 
Marconi  Corp.  certain  of  its  products  and  marketing  imported 
goods  of  the  parent  concern,  has  applied  to  the  Government  of 
Spain  for  permission  to  be  considered  as  a  corporation  of  national 
interest,  the  American  Commercial  Attache  advises. 

It  is  estimated  that  annual  production  will  be  1,000 
transmitting  tubes  of  various  types,  100,000  receiving  tubes,  and 
50,000  radio  receiving  sets,  which  will  be  progressively  increased 
so  that  by  the  end  of  6  years  there  may  be  manufactured  annually 
3,000  transmitting  tubes,  1,000,000  receiving  tubes,  and  100,000 
receiving  sets. 


xxxxxxxxxxx 

SARNOFF  FORESEES  UNPRECEDENTED  SCIENTIFIC  ADVANCES 


Looking  ahead,  David  Sarnoff,  President  of  the  Radio 
Corporation  of  America,  said  at  the  American  Life  Convention  in 
Chicago,  that  the  scientific  and  industrial  advances  of  the  next 
fifty  years  will  pale  those  of  the  past  into  insignificance.  He 
pointed  to  the  release  of  atomic  power  through  isolation  of 
Uranium  235,  and  to  the  electron  microscope,  a  product  of  radio 
research,  as  sign-posts  to  new  vistas  of  civilization.  As  the 
result,  coming  generations,  he  believes,  will  dwell  in  a  new 
economy  of  abundance;  a  new  society  will  be  born. 

"The  troubled  state  of  the  world  today",  continued  Mr. 
Sarnoff,  "represents  a  challenge  to  clear  thinking.  Scientists 
have  accepted  this  challenge,  and  mankind  will  benefit  from  their 
vision  and  courage. " 


XXXXXXXXXXX 

-  11  - 


>  Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


U  y  n  p  [  -i  jr  i  1 Q  A  j 
yy !  J  -  H41 


INDEX  TO  ISSUE  OF  OCTOBER  15,  1940 


Tobey  Finally  Forces  Brown  To  Quit . 2 

FCC  Charged  With  Favoring  President . 5 

Wage  And  Hour  Executive  Employees'  Regulations . 7 

No  Further  Extension  Of  Operator  Citizenship  Proof . 8 

Claim  Consuls  Promote  Fascism  Here  Through  Radio . 9 

Big  Advertisers  Continually  Increasing  Radio  Time . 10 

Radio  Performers'  Pay  Row  Compromised . 11 

Defense  Speeds  Up  And  Expands  RCA . 11 

Ritter  RCA  Manufacturing  V-P . 12 

WMCA  To  Aid  Registration . 12 

Our  S.  W.  Cheers  English  In  Blackout . 12 


No.  1274 


October  15,  1940. 


TOBEY  FINALLY  FORCES  BROWN  TO  QUIT 


Col.  Thad  H.  Brown,  whose  renomination  as  a  member  of 
the  Federal  Communications  Commission  has  been  blocked  for  four 
months  by  Senator  Charles  W.  Tobey  ( R.  ) ,  of  New  Hampshire,  in  the 
Senate  Interstate  Commerce  Committee,  yesterday  (October  14)  sub¬ 
mitted  his  resignation  to  President  Roosevelt. 

The  renomination  for  a  7-year  term  was  submitted  to  the 
Senate  on  June  5th.  Senator  Tobey,  as  a  member  of  the  Interstate 
Commerce  Committee,  conducted  a  virtual  one-man  Investigation  of 
Colonel  Brown's  qualifications.  The  inquiry  ranged  from  an  expose 
of  a  New  York  night  club  party  to  the  findings  of  the  FCC  Monopoly 
Committee,  of  which  Colonel  Brown  was  Chairman. 

During  the  course  of  the  Senate  hearings,  sensational 
charged  were  made  against  the  Radio  Corooration  of  America  and  the 
Columbia  Broadcasting  System,  which  ecliosed  the  case  of  Colonel 
Brown  so  completely  that  some  days  he  didn't  even  attend  the  ses¬ 
sions.  After  exploding  one  bomb-shell  after  another,  Senator  Tobey 
wound  up  by  introducing  a  resolution  in  the  Senate  calling  for  a 
Congressional  investigation  not  only  of  the  entire  radio  industry 
but  also  throwing  a  brick  at  the  Federal  Communications  Commission, 
demanding  that  it  too  be  investigated.  Furthermore,  Senator  Tobey 
demanded  that  members  of  the  FCC  list  for  public  record  the  "gifts, 
favors  and  other  emoluments"  they  have  received  from  the  radio 
companies. 


When  the  Senate  Committee  finally  got  back  to  the  consider¬ 
ation  of  Colonel  Brown's  case,  it  was  evidently  their  intention  to 
recommend  confirming  him.  They  had  the  votes  but  Senator  Tobey,  in 
wrath,  defied  them,  shouting,  it  is  reported,  that  if  the  Committee 
did  this,  he  would  take  the  matter  straight  to  the  floor  of  the 
Senate  "and  raise  hell".  The  Senator  was  said  to  have  declared  that 
he  had  enough  new  evidence  against  Colonel  Brown  and  the  radio 
industry  to  talk  for  sixteen  hours. 

And  there  the  matter  rested.  After  a  month  or  so,  someone 
asked  Senator  Burton  K.  Wheeler,  of  Montana,  Chairman  of  the  Com¬ 
mittee,  when  the  case  would  again  be  taken  up,  and  he  replied,  "Oh, 

I  think  sometime  in  1941. " 

It  was  believed  that  Colonel  Brown  had  the  personal  back¬ 
ing  of  ex-C-overnor  James  Cox,  of  Ohio,  the  former  presidential 
running  mate  of  President  Roosevelt,  and  that  if  this  had  not  been 
the  case,  the  President  would  himself  have  withdrawn  the  nomination 
in  the  face  of  Senator  Tobey ' s  bitter  opposition. 

-  2  - 


10/15/40 


A  comparatively  minor  thing  minor  thing  -  the  allegation 
that  Colonel  Brown  did  not  tell  the  truth  when  asked  about  a  party 
several  Communications  Commissioners  attended  in  New  York  in  1939  - 
was  the  beginning  of  a  series  of  events  which  seemed  to  arouse  the 
particular  indignation  of  Senator  Tobey.  The  incident  was  first 
brought  into  the  hearing  as  follows: 


Senator  Tobey. 


Mr.  Brown. 
Senator  Tobey. 

Mr.  Brown  . 
Senator  Tobey. 


Mr.  Brown. 
Senator  Tobey. 

Mr.  Brown. 


It  has  been  reported  that  an  entertainment  took 
place  in  a  certain  "hot  spot"  in  New  York  City,  and 
it  has  been  charged  that  members  of  the  Federal  Com¬ 
munications  Commission  were  present;  that  they  got 
into  a  drunken  brawl;  and  in  the  brawl  some  woman 
was  hurt,  her  arm  twisted.  *  *  *  *  *  Were  you  there? 
I  do  not  know  what  occasion  you  are  referring  to. 

I  will  be  very  definite.  Do  you  know  of  any  occa¬ 
sion  when  an  incident  like  that  took  olace ? 

No,  sir;  I  know  of  no  such  incident. 

Were  you  personally  present  when  a  woman  cried  out, 
and  certain  members  of  the  Commission  were  present, 
and  there  was  a  drunken  brawl,  and  in  the  brawl  some 
woman  was  hurt,  her  arm  twisted?  I  do  not  know 
whether  it  was  the  Commissioners  who  were  giving  the 
entertainment  or  who  it  was. 

I  know  of  no  such  episode. 

You  have  no  episode  in  mind  where  you  were  present 
when  an  incident  like  that  took  place? 

That  is  correct,  sir. 


Colonel  Brown  later,  however,  admitted  that  he  had  been 
to  a  party  at  the  Diamond  Horseshoe.  Whereupon  this  exchange 
followed: 


Senator  Tobey. 
Mr.  Brown. 

The  Chairman. 
Mr.  Brown. 


Were  there  any  women  present? 
I  do  not  think  so  Senator. 

Was  it  a  stag  party? 

Yes . 


At  a  subsequent  hearing  there  was  a  further  inquiry  on 
the  part  of  the  investigator: 


Senator  Tobey. 


Mr.  Brown. 
Senator  Tobey. 
Mr.  Brown. 
Senator  Tobey. 

Mr.  Brown. 


At  this  Diamond  Horseshoe  party  you  told  us  about 
last  week,  your  glasses  were  knocked  off  by  a  lady, 
were  they  not,  and  I  understand  you  twisted  a  lady’s 
arm? 

I  know  of  no  such  incident,  sir. 

You  stand  by  that  ? 

Yes. 

Is  it  true  that  Commissioner  Case  picked  up  your 
glasses  and  found  them  in  need  of  repair? 

I  do  not  remember  any  such  incident. 


Later,  however.  Commissioner  T.A.M.  Craven,  who  was  in 
the  club  that  night  along  with  Commissioner  Case  and  others,  but 
not  in  Colonel  Brown's  immediate  party,  refuted  the  latter’s  state¬ 
ments.  When  called  to  the  stand,  Commander  Craven  testified: 

-  3  - 


10/15/40 


Mr.  Craven. 


Senator  Tobey. 
Mr.  Craven. 

Senator  Tobey. 


Mr.  Craven. 


*  *  *  I  heard  a  discussion,  apparently  coming  from 
the  direction  where  Mr.  Brown  was  sitting;  and  I 
noticed  that,  as  a  result  of  that,  he  was  holding 
the  lady's  wrist  and  I  was  holding  it  so  as  to 
prevent  her  from  -  apparently  -  attacking  him  in 
some  form;  because  she  seemed  to  be  rather  angry, 
as  a  result  of  the  discussion.  I  did  not  think 
much  of  the  incident,  at  all;  it  quickly  subsided. 
Later  on,  Governor  Case  and  I  thought  we  had  better 
go  back  to  our  hotel,  and  we  asked  Commissioner 
Brown  if  he  wanted  to  go  with  us,  which  he  did;  and 
we  walked  back  to  the  hotel.  His  glasses  were  on 
the  floor,  and  I  think  they  were  returned  the  next 
day. 

I  did  not  consider  the  incident  in  any  way  unmoral  - 
from  the  standpoint  of  the  characterizations  that 
have  been  given  to  it.  I  did  not  see  anything  un¬ 
moral  about  it,  and  I  passed  it  off.  As  a  matter  of 
fact,  I  was  rather  surprised  when  I  heard  of  its 
characterization  on  the  floor  of  the  House,  on  our 
return.  I  saw  nothing  unmoral  about  it. 

Did  you  hear  a  noise  that  sounded  like  a  slap? 

Yes;  I  heard  a  noise  that  sounded  like  a  slap,  al¬ 
though  I  did  not  see  a  slap. 

And  when  youleoked  up,  Commissioner  Brown  had  lost 
his  spectacles  and  was  holding  the  wrist  of  a  woman 
who  appeared  to  be  angry? 

Yes.  There  was  nothing  that  looked  like  twisting 
the  woman's  arm  or  hurting  her  in  any  way. 


Commander  Craven  had  previously  told  of  Colonel  Brown 
bringing  a  woman  over  to  his  table  and  introducing  her.  Senator 
Tobey  commented  on  the  fact  that  although  Colonel  Brown  a  week 
before  had  denied  any  women  were  present,  later  admitted  there  was 
one  at  his  table  "and  I  might  have  grabbed  her  wrist  to  keep  her 
away  from  me". 


Addressing  Colonel  Brown,  Senator  Tobey  declared,  "The 
fact  remains  that  you  deliberately  lied  to  this  Committee  last 
week.  "  Whereupon  Senator  Tobey  concluded  as  follows: 

"So  this  gentleman  makes  a  statement  to  the  Committee 
which  is  false  testimony,  beyond  peradventure ;  and  that  can  be  con¬ 
firmed  by  other  witnesses,  if  necessary. 

"Yet  he  comes  before  us,  asking  this  Committee  to  confirm 
him  for  7  years  more  as  a  Commissioner  of  the  Federal  Communications 
Commission  -  a  man  who,  in  my  judgment,  has  perjured  himself,  who 
is  guilty  of  conduct  in  a  public  place  not  becoming  to  any  gentle¬ 
man,  least  of  all  a  Federal  Communications  Commissioner,  and  who  at 
that  place  brought  over  with  him  a  lady  whom  he  does  not  now  rem¬ 
ember,  and  who  slapped  him,  and  his  glasses  were  broken;  and  now  he 
says  he  remembers  nothing  about  it. 

"I  say,  if  there  is  nothing  more,  that  this  man  is  not 
worthy  to  be  confirmed,  beyond  peradventure.  The  Scripture  says 
that  out  of  their  own  mouths  they  condemn  themselves;  and  I  say  to 
you  (Brown)  that  out  of  your  own  mouth  you  have  condemned  yourself 
before  this  Committee. " 


XXXXXXXXXX 


4 


10/15/40 


FCC  CHARGED  WITH  FAVORING  PRESIDENT 


That  President  Roosevelt’s  broadcasts  have  been  unduly 
favored  by  the  Federal  Communications  Commission  is  alleged  by 
Lawrence  Sullivan  in  a  new  book,  ’’The  Dead  Hand  of  Bureaucracy". 

"In  amazing  degree,  the  FCC  has  governed  broadcasting 
policy  by  the  assumption  that  the  decisions  of  the  President  should 
be  held  above  public  criticism",  Mr.  Sullivan  writes.  "in  no  case 
have  the  radio  chains  made  available  to  opposition  speakers  the 
same  hook-ups  arranged  promptly  for  the  President.  When  comparable 
chain  arrangements  were  requested  by  opponents  of  the  Roosevelt 
court-packing  proposal,  the  broadcasting  companies  responded  they 
could  not  interrupt  their  commercial  schedules  save  upon  the  demand 
of  the  President.  When  circumstances  compel  the  President  to  speak 
in  the  day  hours  of  small  radio  audiences,  the  chains  re-broadcast 
transcriptions  on  the  crowded  night  periods,  displacing  news  broad¬ 
casts  with  the  presidential  recordings.  Only  the  President  ever 
has  commanded  a  short-wave  re-broadcast  of  his  speeches  in  eight 
foreign  languages. " 

Mr.  Sullivan  declared  further  that  the  persistent  efforts 
in  Congress  to  enact  amendments  specifically  outlawing  the  FCC’s 
assumed  powers  of  censorship  have  encountered  vigorous  White  House 
resistance,  with  the  result  that  bureaucracy’s  domination  of  broad¬ 
casting  today  threatens  the  great  American  heritage  of  freedom  of 
speech. 


The  writer  said  that  in  addressing  a  Town  Hall  luncheon 
in  New  York  on  April  28,  1938,  David  Sarnoff,  President  of  the  Radio 
Corporation  of  America,  traced  the  growing  tendency  of  indirect 
Federal  censorship  through  regulatory  powers.  "We  have  but  to  look 
to  the  autocracies  of  Europe  to  see  what  such  governmental  control 
of  broadcasting  may  mean.  When  the  dictator  stands  before  the 
microphone,  the  citizens  are  regimented  before  the  loudspeakers.  " 

"Accumulated  protests  from  the  broadcasting  industry  over 
a  period  of  six  years  have  resulted  recently  in  vigorous  Congression¬ 
al  demands  for  amendments  curbing  the  Government's  assumed  censor¬ 
ship  authority  over  radio  programs.  The  1934  revision  of  the  Radio 
Act  required  renewal  of  broadcasting  licenses  every  three  years, 
but  the  Federal  Communications  Commission  then  prescribed  renewals 
every  six  months.  This  executive  rule  gave  the  FCC  a  tremendous 
leverage  for  keeping  discussion  programs  in  tune  with  Federal  pol¬ 
icies.  At  the  same  time  it  served  to  check  appeals  against  all  FCC 
decisions.  As  one  radio  station  operator  explained  before  the 
Senate  Committee  on  Interstate  Commerce:  ’The  technical  right  of 
appeal  still  remains.  But  nobody  can  afford  to  exercise  it.  .  . 

No  man  with  an  investment  of  $200,000  to$300,000  in  a  radio  station 
can  risk  non-renewal  of  his  license. ’ 

"In  April,  1933,  Postmaster  General  Farley  sponsored 
appointment  of  Herbert  L.  Pettey  as  Secretary  of  the  Radio  Commis¬ 
sion.  Mr.  Pettey  had  been  Director  of  Radio  for  the  Democratic 

-  5  - 


10/15/40 


National  Committee  in  the  1932  campaign.  On  August  14,  1933,  the 
Commission  issued  a  formal  order  demanding  aggressive  radio  support 
of  the  NRA  program.  'It  is  the  patriotic,  if  not  the  bounden  and 
legal  duty  of  all  licensees  of  radio  broadcasting  stations  to  deny 
their  facilities  to  advertisers  who  are  disposed  to  defy,  ignore  or 
modify  the  codes  established  by  the  NRA1,  this  rule  said.  'Under 
the  Radio  Act  the  Commission  has  no  right  of  censorship.  However, 
the  Commission  has  the  right  to  take  into  consideration  the  kind  of 
programs  broadcast  when  licensees  apply  for  renewal.  .  .  .  During 
the  World  War  those  who  refused  to  do  their  part  were  termed 
"Slackers"  -  a  term  of  contempt.  Those  •who  refuse  to  aid  the  govern¬ 
ment  in  this  critical  time  in  its  war  against  depression  should  be 
placed  in  the  same  category.  .  .  .  It  is  to  be  hoped  that  radio 
stations,  using  valuable  facilities  loaned  to  them  temporarily  by 
the  government,  will  not  unwittingly  be  placed  in  an  embarrassing 
position  because  of  the  greed  or  lack  of  patriotism  on  the  part  of 
a  few  unscrupulous  advertisers. '  Such  incidents  illuminate  the 
timeless  wisdom  of  the  Elder  Pitt  in  his  observation:  'Necessity 
is  the  plea  for  every  infringement  of  human  freedom.  It  is  the 
argument  of  tyrants  and  the  creed  of  slaves.' 

"Another  personal  appointee  of  the  Postmaster  General  was 
placed  in  charge  of  the  FCC's  Broadcast  Division,  recognized  in  the 
industry  as  'the  policeman  of  the  air'. 

"During  the  1936  presidential  campaign  Senator  Arthur  H. 
Vandenberg,  of  Michigan,  arranged  a  fifteen-minute  national  hook-up 
late  in  October,  in  which  he  quoted  some  of  Mr.  Roosevelt's  prior 
speeches  by  transcription,  interjecting  his  own  observations  and 
comment.  The  program  was  duly  announced  and  begun  over  the  coast- 
to-coast  chain.  Then  the  telephone  wires  from  Washington  began  to 
sizzle.  Within  two  minutes,  station  after  station  began  to  fade  off 
the  chain,  each  interrupting  itw  own  program  to  announce  that  tran¬ 
scriptions  of  this  sort  might  be  held  a  technical  violation  of  FCC 
regulations.  Before  ten  minutes  of  the  period  had  elapsed,  more 
than  eighty  per  cent  of  the  stations  had  choked  off  the  broadcast. 
Such  complete  and  speedy  federal  censorship  of  campaign  utterances 
had  not  previously  been  imagined  within  the  industry. 

"But  on  June  2,  1940,  after  the  White  House,  Congress,  and 
the  FCC  had  been  petitioned  to  forbid  broadcasting  of  the  Commun¬ 
ist  Party's  national  convention  in  New  York,  the  Commission  ruled 
formally  that  it  had  'no  authority  in  any  manner  whatsoever'  to 
intervene  against  the  broadcast.  A  spokesman  for  the  FCC  explained 
this  ruling  by  the  statement  that  the  federal  authority  'can't  put 
anybody  on  the  air  and  it  can't  take  anybody  off  the  air'." 

The  writer  expressed  himself  on  the  television  situation 
as  follows: 

"By  a  summary  order  of  March  23,  1940,  the  FCC  halted  the 
general  application  of  commercial  television  broadcasting,  as  pre¬ 
viously  authorized,  because  of  'the  fluid  state  of  the  art'.  The 
Chairman  of  the  FCC  then  commanded  a  nationwide  hook-up,  in  which  he 
advised  the  audience  not  to  buy  television  sets,  because  they  soon 
might  be  outmoded  by  technological  advances.  Thus,  after  twelve 
years  of  costly  experimentation  had  brought  television  to  the  point 


13  - 


10/15/40 


of  general  application,  an  arbitrary  bureaucratic  ruling  decreed 
abandonment  of  the  development  program  pending  further  study  and 
hearings.  A  whirlwind  of  public  indignation  greeted  this  summary 
action,  but  the  order  was  not  withdrawn.  The  significance  of  the 
incident  was  presented  forcefully  by  Mr.  David  Lawrence  in  the 
observation:  'Congress  never  delegated  such  authority  to  the  FCC, 

but  assumption  of  power  is  the  habit  of  governmental  commissions 
nowadays.  Congress  has  not  yet  waked  up  to  the  fact  that  it  is  no 
longer  the  law-making  body. '  " 

The  publisher  is  The  Bobbs-Merrill  Company,  Indianapolis 
and  New  York,  and  the  price  is  $2.50. 

XXXXXXXXX 


WAGE  AND  HOUR  EXECUTIVE  EMPLOYEES'  REGULATIONS 


In  connection  with  general  regulations  announced  yester¬ 
day  (October  14) ,  by  Administrator  Fleming  of  the  Wage  and  Hour 
Division  of  the  Department  of  Labor,  effective  October  24,  when  the 
40-hour  week  becomes  operative,  redefining  "executive,  administra¬ 
tive  and  professional"  employees,  the  Radio  Manufacturers'  Associa¬ 
tion  has  sent  the  following  special  bulletin  to  members,  along  with 
copies  of  the  regulations  and  detailed  explanatory  statement: 

"General  exemption  from  overtime  is  given  to  executive, 
administrative  and  professional  employees  have  'non-manual  assign¬ 
ments  which  require  the  exercise  of  discretion  and  independent  judg¬ 
ment  and  if  they  receive  $200  a  month  or  more'.  In  the  radio 
industry  the  ruling  is  especially  applicable  to  engineers  and 
laboratory  employees,  auditors,  credit  managers,  buyers,  and  others 
compensated  over  $200  a  month. 

"The  Administration  has  previously  ruled  that  when  the 
40-hour  week  becomes  effective,  October  24,  weekly  salaries  may  be 
reduced  but  it  is  illegal  to  reduce  hourly  rates  of  employees.  Time 
and  one-half  must  be  paid  for  all  time  worked  above  40  hours  each 
week  after  the  first  regular  work-week  following  October  24,  and 
overtime  must  be  based  on  the  employee's  regular  hourly  rate.  Most 
work-weeks  in  the  radio  manufacturing  industry  will  begin  Sunday, 
October  27,  or  Monday,  October  28,  and  there  is  no  change  in  the 
legal  minimum  wage  which  remains  at  30/  per  hour. " 

XXXXXXXX 

A  media  forum  representing  newspapers,  radio,  magazines 
and  outdoor  will  discuss  the  economic  and  social  challenges  con¬ 
fronting  their  fields,  will  be  a  feature  of  the  convention  of  the 
Association  of  National  Advertisers  to  be  held  at  the  Greenbrier, 
White  Sulphur  Springs,  on  Oct.  23  to  26. 

XXXXXXXXX 


7  - 


10/15/40 


NO  FURTHER  EXTENSION  OF  OPERATOR  CITIZENSHIP  PROOF 


The  promptness  and  cooperative  efforts  of  the  amateur  and 
commercial  radio  operators  in  filing  satisfactory  proof  of  their 
citizenship  and  identification  as  required  by  Order  No.  75  has  been 
very  gratifying,  according  to  a  statement  issued  by  the  Federal 
Communications  Commission. 

"In  order  to  avoid  any  unnecessary  hardship  to  the  oper¬ 
ators,  the  filing  date  for  the  responses  to  that  Order  has  twice 
been  extended  by  one  month  periods  from  the  original  date  of  August 
15.  Under  the  provisions  of  the  Order  as  amended  the  responses  are 
due  on  or  before  October  15,  1940.  It  is  apparent  that  there  has 
been  an  honest  attempt  on  the  part  of  the  large  majority  of  the 
operators  to  meet  that  filing  date",  the  statement  continues. 

"There  will  be  no  further  extension  granted.  However, 
the  Commission  realizes  that  certain  individuals  and  groups  of  oper¬ 
ators  will  be  unable  to  secure  the  necessary  documentary  proof  of 
citizenship  within  the  time  provided  by  the  Order  due  to  factors 
beyond  their  control.  Accordingly,  the  Commission  is  disposed  to 
accept  without  further  action  such  responses  as  may  be  tardily  filed 
provided  they  are  accompanied  by  satisfactory  explanation  of  the 
reasons  which  prevented  prompt  compliance  with  the  Order.  At  the 
same  time  it  is  desired  to  emphasize  that  arbitrary  failure  to  sub¬ 
mit  the  response  in  accordance  with  the  Order,  or  to  offer  a  reason¬ 
able  explanation  of  the  factors  necessitating  late  filing,  may  be 
considered  just  cause  for  further  action  on  the  part  of  the  Commis¬ 
sion.  " 


How  one  of  the  large  companies,  R.  C.A.  Communications, Inc. , 
carried  out  this  order  is  told  in  the  October  issue  of  Relay ,  the 
family  magazine  of  RCAC: 

"During  the  past  week  (Sept.  24)  Central  Office  employees 
have  begun  to  file  FCC  forms  737  and  738,  recently  required  as  a 
step  in  the  national  defense  program.  Filling  out  these  papers 
makes  necessary,  among  other  things,  a  birth  certificate  (or  other 
proof  of  citizenship),  finger-prints,  portraits,  and  notarization. 

"In  order  to  assist  employees  in  preparing  these  papers 
properly,  Mr.  Harry  Chadwick  has  been  delegated  by  the  Company  to 
establish  a  temporary  office  in  room  408.  Mr  Chadwick  answers 
the  many  questions  which  arise,  directs  various  persons  to  the  clos¬ 
est  source  of  vital  statistics,  and  gives  personal  attention  to  each 
finger-printing  operation.  He  is  assisted  in  this  work  by  Miss 
Dorothy  Tuder,  typist. 

"For  convenience  in  obtaining  photographs,  RCAC  has  allow- • 
ed  an  outside  company  to  install  an  automatic  photographing  machine 
in  room  412. 

"Miss  Thalia  N.  Brown  completes  the  requirements  by  notar¬ 
izing  the  two  forms.  Miss  Brown  has  been  handling  this  work  from 

-  8  - 


10/15/40 


room  801,  but  submissions  have  become  so  rapid  she  plans  to  join 
the  staff  in  408  within  the  next  few  days. 

"Walter  Roe  filed  the  first  papers;  this  is  unusual  in 
that  the  discintion  is  usually  conceded  to  John  Doe. 

"Frank  Ursitti  pushed  $3.60  in  dimes  down  the  photo¬ 
machine  slot  before  he  learned  there  was  no  possibility  of  hitting 
a  jackpot.  The  ensuing  36  pictures  compose  a  rare  character  study. 

"We  pointed  out  to  Mr.  Chadwick  that  his  work  necessi¬ 
tated  holding  the  hands  of  every  girl  in  the  building. 

"!If  Mrs.  Chadwick  found  this  out1,  we  asked,  ’wouldn’t 
you  experience  a  quick  change  of  address?’ 

"'Nonsense’’  he  declared.  ’Every  time  I  hold  a  hand, 

I  leave  a  good  impression.’  ’  " 

XXXXXXXX 


CLAIM  CONSULS  PROMOTE  FASCISM  HERE  THROUGH  RADIO 


That  the  staffs  of  the  Italian  Embassy  and  Consulates 
have  grown  busier  every  year  organizing  Facist  activities  on  the 
radio,  through  newspapers  and  other  ways,  is  charged  by  Prof. 
Gaetano  Salvemini  in  a  study  of  Fascist  activities  in  the  United 
States  issued  by  the  American  Council  on  Public  Affairs,  Dr. 
Salvemini  cites  these  "Fascist  radio  activities"  of  a  single  month 
in  New  York  on  the  basis  of  the  following  schedule : 


Hour 

Station 

Sneaker 

8:00  A.M. 

wov 

Negri 

10:15  A  M. 

WBNX 

Neri 

1:00  P.M. 

wov 

Cano  zzuc chi 

2:30  p.M. 

WOV 

Porno 

4:30  P.M. 

WOV 

Cammarota-Cammi 

5:00  P.M. 

WOV 

Scotti 

6:45  P.M. 

WOV 

Di  Giura 

7:15  P.M. 

WOV 

Gloria 

10:30  P.M. 

WBNX 

Garo  falo 

Whenever  a  liberal-minded  Italian  has  bought  time  from  a 
station  to  present  a  more  democratic  interpretation  of  events,  his 
program  has  been  banned  by  the  station  manager  after  a  few  broad¬ 
casts,  says  Professor  Salvemini.  He  asserts  that  Italian  Consuls 
have  managed  to  get  control  of  nearly  all  Italian  organizations  and 
clubs  and  to  form  numerous  new  ones. 

Dr.  Salvemini  further  urges  that  sources  of  Fascist  radio 
and  school  propaganda  should  be  investigated  and  radio  speakers. 
Journalists,  parish  priests  and  lecturers  of  Italian  origin  who 
have  carried  on  Fascist  propaganda  among  Italians  or  Engl ish- speak- 
ing. people  during  the  last  few  years  should  be  deprived  of  their 
citizenship  and  deoorted  to  Italy. 

XXXXXXXX 


9 


.1 


10/15/40 


BIG  ADVERTISERS  CONTINUALLY  INCREASING  RADIO  TIME 


An  increase  from  $19,000,000  annual  network  advertising 
expenditure  ten  years  ago  as  compared  with  $83,000,000  last  year 
was  cited  by  John  J.  Karol,  Columbia  Broadcasting  System  market 
research  counsel  addressing  the  Production  Men’s  Club  of  New  York. 

"The  food  industry,  for  example,  showed  a  120  per  cent 
gain  in  network  radio  during  the  past  ten  years  and  last  year  food 
advertisers  spent  $24,600,000  for  network  time  alone",  Mr.  Karol 
said.  "The  percentage  of  gains  for  other  industries  are  almost 
two  striking  to  quote,  so  to  be  conservative  let  me  give  you  a  few 
dollar- volume  figures  of  radio  expenditures  during  the  past  five 
years:  The  big- three  soap  advertisers,  for  example  -  Lever  Broth¬ 

ers,  Colgate-Palmolive-Peet ,  Proctor  &  Gamble  -  increased  their 
buy  of  network  time  from  $4,000,000  in  1935  to  approximately 
$15,000,000  in  1939;  the  cigarette  and  tobacco  Industry  increased 
from  $3,400,000  in  1935  to  $11,600,000  last  year; and  the  drug  and 
cosmetic  industry,  one  of  radio's  largest  users  from  the  very  first, 
has  advanced  year  to  year,  going  from  $15,900,000  in  1935  to 
$22,400,000  in  1939.  (As  you  know,  many  advertisers  in  this  latter 
classification  are  not  acceptable  to  the  major  networks. ) 

"In  looking  through  the  list  of  advertisers  using  our 
facilities  in  1930  as  compared  with  last  year,  we  note  a  number  of 
interesting  changes.  For  example,  ten  years  ago  two  categories  of 
advertisers  -  radio  set  manufacturers  and  publications  -  accounted 
for  about  30  per  cent  of  our  total  revenue.  Last  year  advertisers 
in  these  classifications  amounted  to  less  than  1  per  cent  of  our 
total  billing.  On  the  other  hand,  the  automobile  industry  in  1930 
accounted  for  about  one-half  of  1  percent  of  our  revenue,  whereas 
last  year  the  automobile  industry  accounted  for  6-|  per  cent  of  our 
billing,  increasing  from  $31,000  to  $2,200,000. 

"Daytime  broadcasting  was  just  getting  under  way  in  1930. 

It  amounted  to  slightly  over  $1,000,000,  or  about  1  per  cent  of  our 
total  revenue.  Last  year  advertisers  spent  over  $12,000,000  for  CBS 
facilities  prior  to  6  p.m.  and  that  amounted  to  over  35  per  cent  of 
our  total  revenue  -  in  other  words,  over  1000  per  cent  increase  in 
daytime  broadcasting  on  CBS. 

"Some  of  you  may  assume  from  the  figures  I  gave  you  regard¬ 
ing  tremendous  increase  in  expenditures  for  network  time  that  the 
cost  of  broadcasting  has  similarly  increased.  Let  me  give  you  just 
a  few  figures  to  prove  that  the  reverse  is  actually  true.  In  1930, 
CBS  had  61  stations  and  provided  primary  coverage  of  7,600,000  radio 
homes.  In  1940  CBS  comprises  118  stations  providing  primary  cover¬ 
age  of  27,552,000  radio  families,  an  increase  of  259  per  cent  since 
1930.  Now  if  we  compute  the  gross  cost  per  1,000  radio  families  in 
Columbia's  primary  listening  areas  on  the  basis  of  the  half-hour 
evening  rate,  plus  50  per  cent  of  time  for  talent  cost,  we  find 
that  the  average  cost  per  1,000  radio  families  in  1930  was  $1.48 
as  compared  with  77/  per  1,000  radio  familes  in  1940,  or  a  drop  of 
48  per  cent . 

"The  simple  year-to-year  record  of  expenditures  of  adver¬ 
tisers  for  radio  broadcasting  during  the  past  10  years  is  perhaps 
the  most  convincing  illustration  of  the  effectiveness  of  radio 
advertising.  "  XXXXXXXXXX  -10- 


l' 


10/15/40 


RADIO  PERFORMERS’  PAY  ROW  COMPROMISED 


An  agreement  covering  all  performers  appearing  on  both 
commercial  and  sustaining  radio  programs,  intended  to  insure 
industrial  harmony  until  Nov.  1,  1943,  has  been  negotiated  by 
officials  of  the  American  Federation  of  Radio  Artists,  an  A.  F.  of 
L.  affiliate,  and  representatives  of  the  National  Broadcasting  Com¬ 
pany  and  the  Columbia  and  Mutual  Broadcasting  Systems,  it  was 
announced  last  night. 

A  compromise  on  the  basic  pay  for  sustaining  programs, 
one  of  the  chief  issues  that  for  a  time  threatened  to  lead  to  a 
strike,  ms  reached.  For  New  York  programs  and  those  going  out  on 
the  networks  the  fees  were  fixed  at  $19  for  a  fifteen-minute  pro¬ 
gram,  $23  for  a  half-hour  program  and  $27.50  for  an  hour’s  program. 
The  rates  are  proportionately  lower  for  Chicago  and  the  West  Coast. 

The  broadcasters  agreed  to  pay  for  rehearsals  at  a  rate 
that  represents  a  10  per  cent  increase  for  union  members  if  pro¬ 
grams  are  held  to  a  new  minimum  of  rehearsal  time  and  a  30  per  cent 
increase  if  the  programs  are  rehearsed  as  long  as  is  the  present 
practice . 

XXXXXXXXXX 


DEFENSE  SPEEDS  UP  AND  EXPANDS  RCA 


David  Sarnoff,  President  of  the  Radio  Corporation  of 
America,  announced  on  Monday  that  the  research  and  production  facil¬ 
ities  of  the  company  are  being  expanded  to  speed  national  defense 
orders  for  radio  equipment  and  to  accommodate  demands  of  increased 
business.  In  order  to  execute  this  expansion  program,  arrangements 
have  been  completed  to  obtain  temporary  funds  from  a  group  of  banks. 

These  borrowings  aggregating  $15,000,000  will  be  for  a 
term  of  five  years  at  1\  per  cent  interest,  but  with  the  privilege 
of  payment  in  whole  or  in  part  at  any  time  prior  to  maturity.  A 
portion  of  the  sum,  Mr.  Sarnoff  announced,  will  be  used  to  retire 
the  company’s  currently  outstanding  bank  loans  of  $2,000,000,  which 
oany  an  interest  rate  of  1-3/4  per  cent,  and  are  due  April  8,  1941. 

The  number  of  employees  of  RCA  and  its  subsidiary  companies 
at  the  end  of  September  totalled  26,595  as  compared  with  22,640  in 
the  corresponding  month  of  1939,  an  increase  of  3,955  employees. 

The  new  program  will  further  increase  employment  in  the  RCA  organi¬ 
zation. 


XXXXXXXX 


11  - 


>ni3 


■ 

.'/5TC 


10/15/40 


RITTER  RCA  MANUFACTURING  V-P 


E.  W.  Ritter,  formerly  General  Manager  of  radio  tube 
manufacturing  for  RCA  Manufacturing  Company,  Inc. ,  has  been  elected 
Vice-President  in  charge  of  all  manufacturing  and  production  engi¬ 
neering  activities.  H.  L.  Somme re r,  former  Manager  of  Manufacturing, 
has  been  appointed  Assistant  to  Mr.  Ritter. 

E.  W.  Engstrom,  former  Director  of  General  Research, 
becomes  Manager  of  all  research  activities;  E.  E.  Lewis,  is  appointee 
Assistant  Vice  President  as  executive  head  of  Accounts  and  Finance; 

H.  L.  Beisswenger,  I.  T.  Kitzmiller  and  E.  M.  Moore  are  appointed 
Assistant  Controllers. 


XXXXXXXX 
WMCA  TO  AID  REGISTRATION 


To  expedite  registration  for  selective  service  and  to 
minimize  congestion  at  polling  places,  New  York  City  headquarters 
of  the  Selective  Service  Administration  will  broadcast  timely  bul¬ 
letins  during  registration  night  on  October  16th  through  the  facil¬ 
ities  of  Station  WMCA.  The  broadcasts  will  be  heard  from  6:30  to 
10:30  P.M.,  EST. 

All  polling  places  in  public  schools  throughout  the  five 
boroughs  will  be  equipped  with  radios  tuned  to  Station  WMCA  for 
the  bulletins.  These  bulletins  will  be  ’phoned  to  WMCA  by  offi¬ 
cials  of  the  Selective  Service  and  all  WMCA  programs,  commercial 
and  sustaining,  will  cooperate  in  the  broadcasts. 

XXXXXXXXX 


OUR  3.W.  CHEERS  ENGLISH  IN  BLACKOUT 


English  radio  stations  either  go  off  the  air  or  turn  to 
record  programs  during  blackouts,  and  listeners  prefer  the  American 
entertainment,  explained  Peter  J.  Sallis  of  Southgate  in  a  letter 
to  WGEA,  General  Electric  short-wave  station. 

"We  have  had  continuous  attempts  to  upset  our  mode  of 
life  by  air  raids",  wrote  Mr.  Sallis.  "Apart  from  purely  material 
damage,  one  of  their  drawbacks  is  that  they  have  caused  our  wire¬ 
less  programs  either  to  go  off  the  air  altogether  or  else  we  have 
had  to  listen  to  numerous  record  recitals. 

"I  tune  in  my  receiver  to  the  19-meter  band  and  listen  to 
WGniA,  and  although  I've  done  It  plenty  of  times  in  the  past,  I  must 
say  that  these  days  it 1  s  a  boon.  " 

XXXXXXXXX 

-  12  - 


4’« 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


New  Commissioner  Probably  Westerner . 2 

Monopoly  Report  Argument  Put  Over  Until  After  Election . 5 

No  Pay  For  Volunteer  Radio  Performers . 5 

FCC  Clears  Up  Old  Brooklyn  Situation . 6 

WIND  Boosted  To  5  KW . 7 

Tests  For  National  Television  Committee  Authorized . 8 

Broadcasts  To  Foreign  Countries  Must  Be  Recorded . 8 

President’s  Peace  Time  Radio  Power  Discussed . 9 

Authorizes  Radiotelephone  To  Chesapeake  Bay  Islands . 10 

Trammell  Puts  Premium  On  Almonte  Courtesy . 11 

All  America  Cables  Stands  Behind  Drafted  Employees . 12 

RCA  Circuit  Between  U.S.  and  Finland  Opened . 12 

Columnists  To  Report  On  Defense? . 12 


No.  1275 


■ 


NEW  COMMISSIONER  PROBABLY  WESTERNER 


There  seems  to  be  every  likelihood  that  the  new  member 
of  the  Federal  Communications  Commission  to  succeed  Col.  Thad  Brown 
whose  reappointment  was  blocked  by  the  Senate,  will  be  a  man  from 
the  West.  That  this  part  of  the  United  States  be  represented  on 
the  Commission  has  been  urged  by  Senator  Burton  K.  Wheeler,  of 
Montana,  and  others.  Senator  Wheeler  is  Chairman  of  the  Senate 
Interstate  Commerce  Committee  which  passes  on  nominations  and 
virtually  everything  having  to  do  with  radio  in  the  Senate. 

As  the  Commission  now  stands,  its  complexion  is  decidedly 
Eastern.  Although  Chairman  James  L.  Fly  was  born  in  Texas,  he  has 
spent  most  of  his  life  in  the  East.  Mr.  George  H.  Payne  was  born 
in  New  York  City;  Commissioner  Norman  S.  Case  was  born  in  Provi¬ 
dence,  R.  I.  ,  and  afterwards  served  as  Governor  of  that  State. 
Commissioner  T.A.M.  Craven  was  born  in  Philadelphia  and  has  spent 
much  of  his  life  in  the  East  and  cruising  about  the  world  in  his 
17  years  in  the  Navy.  Mr.  Frederick  I.  Thompson,  born  in  Mississ¬ 
ippi,  was  appointed  from  Mobile,  Alabama.  The  nearest  to  Western 
representation  is  Commissioner  Paul  A.  Walker,  who  spent  most  of 
his  life  in  Oklahoma  although  born  in  Pennsylvania. 

Already  the  name  of  a  Westerner  has  been  mentioned  as  a 
possibility  for  the  vacancy  on  the  Communications  Commission.  It 
is  Carl  Irving  Wheat,  who  was  telephone  rate  attorney  for  the 
Federal  Communications  Commission  in  1936-37,  and  later  telephone 
rate  counsel  and  Director  of  Telephone  Rate  and  Research  Department 
of  the  FCC  at  the  time  of  the  Government  teleohone  investigation 
in  1937-38. 

Mr.  Wheat,  as  a  matter  of  fact,  was  born  in  Holliston, 
Mass.,  in  1892,  but  went  to  California  at  an  early  age.  He  was 
graduated  from  Occidental  College  Academy  in  Los  Angeles,  in  1911 
with  an  A. B.  at  Pomona  College,  Claremont,  Calif,  in  1915,  and 
an  LL.B.,  at  Harvard  in  1920.  He  was  admitted  to  the  California 
bar  in  that  same  year  and  began  practice  in  Los  Angeles,  first  as 
attorney  for  the  Railroad  Commission  of  California,  of  which  he 
later  became  Chief  Counsel.  There  followed  practice  at  San  Fran¬ 
cisco  in  his  serving  as  Public  Utilities  Counsel  for  the  City  of 
Los  Angeles  from  1933-36  as  well  as  being  associated  with  the 
City  Attorney’s  office  during  that  time. 

After  the  telephone  investigation  at  the  FCC,  he  returned 
to  San  Francisco  and  Los  Angeles  where  he  entered  law  practice  and 
became  consulting  attorney  of  the  Public  Utilities  Commission  of 
Hawaii  and  Department  of  Public  Service  in  Washington,  D. C.  He 
is  now  practicing  law  in  San  Francisco  as  well  as  the  National 
Capital. 


-  2  - 


10/18/40 


Mr.  Wheat  was  with  the  American  Ambulance  Service  in 
France  in  1917  and.  was  a  First  Lieutenant  in  the  Air  Service, 
1918-19.  He  is  a  member  of  the  California  Historical  Society, 
Southern  California  Historical  Society,  E.  Clampus  Vitus,  Book 
Club  of  California,  the  Roxburghe  Club  of  San  Francisco,  Phi  Beta 
Kappa,  Kappa  Delta.  He  is  a  Congregationalist  and  belongs  to  the 
following"  clubs :  Commonwealth,  Bohemian  (San  Francisco);  Zamorano, 
University  (Los  Angeles);  Cosmos  (Washington). 

Mr.  Wheat  is  also  a  noted  author  and  has  written  the 
following  publications :  "Life  of  Theodore  D.  Judah";  "Ned 
McGowan,  the  Ibiquitous";  "Trailing  the  Forty-Niners  Through  Death 
Valley";  "Regulation  of  Interstate  Telephone  Rates".  He  was  edi¬ 
tor  of  "The  Journals  of  Charles  E.  De  Long,  1929-31;  The  Shirley 
Letters  from  the  California  Mines,  1932;  Wah-to-Yah,  or  The  Taos 
Trail,  1935;  also  of  Quarterly  of  Historical  Society  of  Southern 
California,  1933-36.  He  compiled  the  following:  Public  Utility 
Regulation,  California  Railroad  Commission,  1927;  Digest  of 
Decisions  California  Railroad  Commission,  1927.  He  also  has 
contributed  to  legal  and  historical  periodicals. 

Although  the  term  of  Commissioner  Thad  Brown  expired 
June  30th,  and  the  place  has  been  vacant  ever  since,  it  may  not 
be  filled  for  some  time.  President  Roosevelt  said  that  probably 
no  more  major  appointments  will  be  made  until  after  election. 

Asked  about  vacancies  at  present  in  the  Communications  Commission 
and  the  National  Labor  Relations  Board,  the  President  remarked 
that  the  Senate  Committees  are  all  short  of  quorums  at  present 
and  that  he  very  likely  would  make  no  appointments  requiring  Senate 
confirmation  until  the  legislators  return  to  Capitol  Hill. 

If  the  FCC  appointment  should  be  made  before  election, 
unquestionably  it  will  be  political.  If  afterwards,  then  very 
likely  to  some  deserving  "lame  duck".  It  would  be  a  juicier  plum 
before  the  election  because  it  has  to  be  a  Republican  and  favor 
might  be  curried  among  Republican  voters  as  evidently  the  Presi¬ 
dent  tried  to  do  in  appointing  Secretaries  Stimson  and  Knox  to  the 
Cabinet. 


As  usual,  the  radio  industry  will  probably  have  hardly 
anything  to  say  about  it.  The  Administration  may  go  through  the 
motion  of  consulting  some  of  the  industry  leaders  but  as  has 
almost  invariably  been  the  case  in  the  past,  when  the  announcement 
is  made  it  will  come  pretty  much  as  a  surprise  to  all  and  this 
writer  is  willing  to  bet  that  rather  than  a  man  having  any  techni¬ 
cal  qualifications  or  knowing  anything  particular  about  the  com¬ 
munications  or  radio  industry,  it  will  be  another  politician. 

It’s  the  same  old  thing  over  and  over  again. 

In  connection  with  the  Senate  refusal  to  confirm  the 
appointment,  the  following  letters  were  exchanged  by  Colonel  Brown 
and  the  President: 


3 


10/18/40 


’’October  14,  1940 


"My  dear  Mr.  President: 

"May  I  express  to  you  ray  deep  appreciation  of  the  trust 
and  confidence  you  reposed  in  me  in  reappointing  me  on  June  5  as 
a  member  of  the  Federal  Communications  Commission.  Events  which 
have  transpired  since  then  make  it  necessary  for  me  to  request  at 
this  time  that  my  nomination  be  withdrawn  and  the  appointment 
terminated  immediately. 

"As  you  will  recall,  during  the  early  spring  and  before  you 
appointed  me  a  member  of  the  Commission  for  another  term,  I  had 
seriously  contemplated  entering  the  private  practice  of  law.  The 
opportunity  which  presented  itself  at  that  time  is  still  available 
to  me,  and,  in  justice  to  my  family  and  myself,  I  feel  that  it  is 
my  duty  to  carry  out  this  original  plan. 

"With  kindest  personal  regards  and  greetings,  I  am, 

Respectfully  yours, 

(Signed)  Thad  H.  Brown 


"October  14,  1940 

"Dear  Mr.  Brown: 

"The  terms  of  the  request  in  your  letter  of  October  fourteenth 
seem  to  leave  me  no  alternative  but  to  accede.  It  is,  however,  with 
reluctance  and  with  very  real  regret  that  I  withdraw  your  nomina¬ 
tion  as  a  member  of  the  Federal  Communications  Commission,  and  in 
further  acquiescence  in  your  request  permit  termination  of  your 
services  as  a  member  of  the  Commission,  effective  as  of  this  date. 

"In  taking  this  action,  however,  I  desire  to  express  my  ap¬ 
preciation  of  your  work  and  my  confidence  in  your  ability  to  carry 
on  -  a  confidence  which  has  reflected  in  my  action  in  tendering  you 
a  reappointment  last  June. 

"I  have  long  known  of  your  desire  to  return  to  private  life 
and  I  desire  to  wish  you  happiness  and  all  success  in  the  practice 
of  the  law. 

"Very  sincerely  yours, 

(Signed)  Franklin  D.  Roosevelt 
XXXXXXXXXXXX 


4 


1  '■  "  V  .  -  f' 

v  ’  ;v.  ■... 

' '  •  ‘  ■  ;  ‘  v. .  v 


10/18/40 


MONOPOLY  REPORT  ARGUMENT  PUT  OVER  UNTIL  AFTER  ELECTION 


Oral  argument  in  connection  with  the  investigation  by 
the  Federal  Communications  Commission  of  chain  broadcasting  will 
be  held  on  Tuesday,  December  2,  and  Wednesday,  December  3.  The 
subject  matter  for  argument  will  be  limited  to  the  issues  of  fact 
and  policy  raised  by  the  report  of  the  chain  broadcasting  committee 
dated  June  12,  1940. 

It  was  further  announced  that  at  the  request  of  inter¬ 
ested  parties,  the  final  date  for  the  filing  of  briefs  would  be 
extended  to  November  11,  1940. 

XXXXXXXXXX 


NO  PAY  FOR  VOLUNTEER  RADIO  PERFORMERS 


Col.  Phillip  B.  Fleming,  Administrator  of  the  Wage  and 
Hour  Law  has  ruled  that  persons  who  appear  voluntarily  on  such 
programs  as  ”Man  on  the  Street”  and  "Quiz  Game”  broadcasts  are 
not  employees  of  the  radio  stations  within  the  meaning  of  the  law. 

The  instructions  were  issued  relative  to  an  order  of 
Sept.  16  relating  to  sustaining  radio  programs  because  of  a  mis¬ 
understanding  of  its  scope  and  the  receipt  of  many  inquiries. 

XXXXXXXX 


c 


ORRECTION 


In  quoting  from  the  Senate  transcript  in  the  article 
"Tobey  Forces  Brown  to  Qpit",  in  our  issue  of  October  15th,  the 
following  was  inadvertently  attributed  to  Commissioner  T. A.  M. Craven ; 


»*  *  #  I  heard  a  discussion,  apparently  coming  from  the 
direction  where  Mr.  Brown  was  sitting;  and  I  noticed  that,  as  a 
result  of  that,  he  was  holding  the  lady's  wrist  and  I  was  holding 
it  so  as  to  prevent  her  from  -  apparently  -  attacking  him  in  some 
form;  because  she  seemed  to  be  rather  angry,  as  a  result  of  the 
discussion.  ” 


This  was  incorrect.  What  Commander  Craven  really  said  was; 


"I  heard  a  discussion,  apparently  coming  from  the  direc¬ 
tion  where  Mr.  Brown  was  sitting;  and  I  noticed  that,  as  a  result 
of  that,  he  was  holding  the  lady's  wrist  and  was  holding  it  so  as 
to  prevent  her  from  -  apparently  -  attacking  him,  in  some  form; 
because  she  seemed  to  be  rather  angry,  as  a  result  of  the  discus¬ 
sion.  " 


As  stated  in  article,  though  Commander  Craven  was  in  the 
Club^that  night  along  with  Commissioner  Case  and  others,  he  was 
not  in  Colonel  Brown's  immediate  party. 


XXXXXXXX 


10/18/40 


FCC  CLEARS  UP  OLD  BROOKLYN  SITUATION 


The  Federal  Communications  Commission  has  granted  the 
applications  for  renewal  of  licenses  for  Station  WLTH,  The  Voice 
of  Brooklyn,  Inc.,  and  WARD,  United  States  Broadcasting  Corp. , 
and  denied  the  application  for  modification  of  license  by  WBBC, 
Brooklyn  Broadcasting  Corp. ,  insofar,  only  as  the  facilities  of 
WARD  and  WLTH  are  requested.  All  stations  operate  on  the  frequency 
of  1400  kilocycles  with  500  watts  power,  sharing  time  equally, 
each  station  serving  the  Brooklyn  area.  It  is  a  complicated  case 
that  has  been  before  the  Commission  for  years. 

In  1932  four  Brooklyn  stations  (WLTH,  WARD,  WBBC  and 
WVFW) ,  filed  applications  for  increase  of  operating  time,  which 
if  granted,  would  have  required  the  delection  of  one  or  more  of 
the  other  stations.  A  hearing  ms  held  before  an  Examiner  in 
August  and  September,  1933.  During  this  hearing  and  subsequent 
thereto  a  number  of  applications  were  filed  by  other  parties  seek¬ 
ing  full-time  use  of  the  1400  kilocycle  frequency.  Also,  the 
licensees  amended  their  applications  as  to  operating  time  requested 
Therefore,  the  Commission  ordered  a  further  hearing  to  include 
these  subsequent  applications,  which  was  held  in  December,  1934, 
and  the  Commission  rendered  its  decision  on  December  17,  1935. 
Thereafter  upon  consideration  of  petitions  for  rehearing  the  Com¬ 
mission  on  February  5,  1936,  ordered  a  hearing  de  novo  to  be  held 
before  it  upon  all  the  applications  then  pending  and  involving  the 
use  of  the  1400  kilocycle  frequency  in  Brooklyn,  including  renewal 
applications  of  the  licensees.  This  hearing  was  held  in  March  and 
April,  1937.  On  June  29,  1937,  the  Commission  entered  its  order 

(1)  granting  the  applications  of  WBBC  for  renewal  of  license  and 
for  renewal  of  auxiliary  transmitter  license,  and  granting  in  part, 
the  application  for  modification  of  license,  insofar  as  that  appli¬ 
cation  requested  the  facilities  of  Stations  WARD  and  WLTH,  and  deny¬ 
ing  the  application  insofar  as  it  requested  the  facilities  of  WVFW; 

(2)  granting  the  applications  of  WVFW  for  construction  permit  to 
make  equipment  changes  and  for  renewal  of  license,  and  (3)  denying 
all  other  applications  involved  in  the  proceeding. 

Thereafter  WLTH  and  WARD  each  filed  notice  of  appeal  in 
the  U.  S.  Court  of  Appeals  for  the  District  of  Columbia  from  the 
Commission’s  decision  of  June  29,  1937,  denying  their  applications 
for  renewal  of  licenses.  Appeals  were  also  taken  by  the  Brooklyn 
Daily  Eagle  Broadcasting  Co.,  Inc.,  and  the  Debs  Memorial  Radio 
Fund,  Inc. ,  from  the  same  decision  which  denied  their  applications 
for  the  operating  time  of  WBBC,  WLTH,  WARD  and  WVFW.  Later  the 
appeals  of  Debs  Memorial  Ra.dio  Fund,  Inc.  ,  and  the  Brooklyn  Daily 
Eagle  Broadcasting  Co.,  Inc.,  were  withdrawn. 

On  September  30,  1937,  the  Court  of  Appeals,  on  petitions 
filed  by  WLTH  and  WARD  stayed  the  effectiveness  of  the  Commission's 
order  of  June  29,  1937,  insofar  as  it  terminated  the  service  of 
WLTH  and  WARD  and  assigned  the  operating  time  of  said  stations  to 
WBBC.  Pursuant  to  a  motion  filed  by  the  Commission  the  Court  of 
Appeals  on  October  13,  1939,  remanded  back  to  the  Commission  for 


6 


10/18/40 


further  proceedings  the  cases  which  were  the  subject  of  the  above 
appeals  taken  by  WLTH  and  WARD  with  the  stipulation  that  "The  Com¬ 
mission  and  the  other  parties  in  interest  agree  that  the  status  quo 
will  remain  until  the  Commission  has  acted  on  the  remand. w 

Based  upon  the  foregoing  the  Commission  on  October  27, 
1938,  ordered  temporary  licenses  be  issued  to  WLTH  and  WARD  for 
their  continued  operation,  and  on  the  same  date  set  aside  its 
order  of  June  29,  1937,  insofar  only  as  the  same  denied  the  appli¬ 
cations  of  WLTH  and  WARD  for  renewal  of  licenses  and  granted  in 
part  the  application  of  WBBC  for  modification  of  license  to  utilize 
the  time  of  WLTH  and  WARD.  The  Commission*  s  order  of  October  27, 
1938,  also  set  aside  the  Statement  of  Facts  and  Decision  of  June  29, 
1937,  insofar  as  the  same  denied  the  renewal  applications  of  WLTH 
and  WARD  and  granted  the  application  of  WBBC  for  the  operating  time 
of  WLTH  andWARD.  The  Commission’s  reconsideration  of  this  record 
has  been  limited  to  the  evidence  which  relates  to  the  applications 
of  WLTH,  WARD  and  WBBC. 

In  its  grounds  for  decision  the  Commission  concludes: 

1.  The  broadcasting  service  rendered  the  public  by  Stations 
WLTH  and  WARD  has  been  of  the  same  general  character  and  quality  as 
the  service  rendered  by  Station  WBBC  and  there  is,  in  fact,  no  sub¬ 
stantial  distinction  in  the  merits  of  the  services  of  these  three 
stations. 

2.  The  licensees  of  Stations  WLTH  and  WARD  are  qualified 
legally,  technically,  financially,  and  otherwise  to  operate  their 
respective  stations  on  the  limited  basis  of  a  time-sharing  station. 

3.  The  granting  of  the  application  of  WBBC  for  modification 
of  license  insofar  as  said  application  request  authority  to  operate 
during  the  hours  used  by  WLTH  and  the  hours  used  by  WARD  would  not 
serve  public  interest,  convenience  and  necessity. 

The  order  in  this  case  will  become  effective  Oct.  22,1940. 

XXXXXXXXXX 


WIND  BOOSTED  TO  5  KW 


One  of  the  fastest  growing  stations  in  the  Chicago  are, 
Station  WIND,  operated  by  the  Johnson-Kennedy  Radio  Corporation  at 
Gary,  Ind. ,  has  been  granted  a  construction  permit  to  increase 
night  power  from  1  kilowatt  to  5  kilowatts  and  make  changes  in 
directional  antenna  system  for  day  and  night  use;  560  kilocycles. 

XXXXXXXX 


7 


. .. 


10/18/40 


TESTS  FOR  NATIONAL  TELEVISION  COMMITTEE  AUTHORIZED 


In  line  with  its  policy  of  cooperating  with  the  National 
Television  Standards  Committee,  which  is  endeavoring  to  determine 
standards  so  that  the  development  of  the  television  industry  may 
go  forward,  the  Federal  Communications  Commission  has  granted 
authority  to  operate  television  Station  W2XBS  in  New  York  with 
special  emission  in  addition  to  A3  emission  on  Channel  No.  1,  in 
order  to  conduct  experimental  tests  for  the  Committee  and  the 
National  Broadcasting  Co.,  to  not  later  than  January  1,  at  which 
time  proper  standards  may  be  arrived  at. 


Because  of  the  enthusiasm  of  Chairman  Fly  with  regard  to 


color  television,  additional  requirements  may  be  made  so  that  when 
television  is  again  reintroduced  to  the  public,  it  may  be  in  color 
instead  of  black  and  white.  It  is  said  the  industry  fears  that 
if  this  rule  is  laid  down  for  all  television  stations,  there  will 
be  further  delay  as  it  may  take  longer  to  produce  color  apparatus 
and  that  the  expense  will  be  much  greater. 


XXXXXXXXXX 


BROADCASTS  TO  FOREIGN  COUNTRIES  MUST  BE  RECORDED 


Following  the  recent  meeting  in  Washington  of  the  repre 


sentatives  of  U.  8.  short-wave  broadcasting  stations  and  by  way 
of  tightening  up  in  connection  with  National  Defense,  the  Federal 
Communications  Commission  has  adopted  the  following  rules  affecting 
international  broadcast  stations: 

(1)  Each  licensee  of  an  international  broadcast  station  shall 
make  verbatim  mechanical  records  of  all  international  programs 
transmitted. 

(2)  The  mechanical  records,  and  such  manuscripts,  trans¬ 
cripts,  and  translations  of  international  broadcast  programs  as  are 
made  shall  be  kept  by  the  licensee  for  a  period  of  two  years  after 
the  date  of  broadcast  and  shall  be  furnished  the  Commission  or  be 
available  for  inspection  by  representatives  of  the  Commission  upon 
request. 

(3)  If  the  broadcast  is  in  a  language  other  than  English  the 
licensee  shall  furnish  to  the  Commission  upon  request  such  record 
and  scripts  together  with  complete  translations  in  English. 


XXXXXXXX 


One  of  the  oldest  stations  in  the  United  States,  WWJ, 
owned  by  the  Detroit  News,  is  increasing  its  power  to  5  KW. 


XXXXXXXXX 
-  8  - 


10/18/40 


PRESIDENT'S  PEACE  TIME  RADIO  POWER  DISCUSSED 


The  extent  to  which  the  President  can  interfere  in  peace¬ 
time  with  communication,  production,  and  distribution  is  the  extent 
to  which  he  can  interfere  with  the  freedom  and  the  property  rights 
of  the  American  citizen,  according  to  "The  President's  Peace  Time 
Power  in  1940",  a  pamphlet  prepared  under  the  direction  of  The 
Industrial  Survey  and  Research  Service  in  the  Barr  Building, 
Washington,  D.  C. 

\\ 

It  carries  an  introductory  note: 

"This  publication  has  been  prepared  in  response  to  urgent 
requests  for  'plain  English'  information  to  answer  such  questions 
as,  'Well,  suppose  the  President  can  take  over  radio  stations  and 
industrial  plants,  what  can  that  do  to  me  so  long  as  I  do  not  own 
the  stations  or  plants  he  commandeers?'  With  one  notable  exception, 
the  pages  that  follow  are  concerned  with  the  effect  of  the  Presi¬ 
dent's  peace  time  power  upon  all  American  citizens,  rather  than 
with  its  effects  upon  the  owners  of  producing  or  servicing  agencies. 
The  laws  quoted  in  this  publication  have  been  selected  in  the  light 
of  a  fact  which  everybody  know^but  which  too  many  citizens  forget  •• 
that  all  the  goods  and  services  essential  to  our  everyday  family 
and  community  life  are  furnished  by  the  country's  producing  and 
distributing  facilities . 

"The  information  is  confined  to  specified  power  grants 
that  convert  liberties,  heretofore  exercised  as  a  citizen  right, 
into  privileges  enjoyed  at  the  discretion  of  the  President.  " 

"Radio  programs  come  into  American  homes  in  peace-time 
at  the  pleasure  of  the  President  -  not  by  right  of  the  American 
citizen."  ("Except  for  homes  having  radios  caoable  of  receiving 
foreign  broadcasts  directly  -  not  through  American  chains. ") 

There  follows  the  wartime  radio  statute  with  capital 
letters  to  emphasize  the  points  which  the  Research  Service  desires 
to  make. 


"Upon  proclamation  BY  THE  PRESIDENT  that  there  exists 
war  or  a  threat  of  war  or  a  state  of  public  peril  or  disaster  or 
other  national  emergency,  or  in  order  to  preserve  the  neutrality 
of  the  United  States,  the  President  may  suspend  or  amend,  FOR  SUCH 
TIME  AS  HE  MAY  SEE  FIT,  the  rules  and  regulations  applicable  to  any 
or  all  stations "( radio )  "within  the  jurisdiction  of  the  United 
States  as  prescribed  by  the  Commission"  (Communications)  "and  may 
cause  the  closing  OF  ANY  STATION  for  radio  communication  and  the 
removal  therefrom  of  its  apparatus  and  equipment,  or  he  may  author¬ 
ize  the  use  or  control  of  any  such  station  and/or  its  apparatus  and 
equipment  by  any  department  of  the  government  under  such  regula¬ 
tions  as  he  may  prescribe,  upon  just  compensation  to  the  owners. " 
(48  Stat.  1104)  ("The  Press  throughout  the  country  during  the  last 
week  of  September,  1940,  carried  announcements  that  the  President 
had  set  up  a  board  to  prepare  an  operating  plan  for  this  power. ") 


9 


10/18/40 


"The  President  is  empowered  to  nullify  in  time  of  peace 
any  order  for  goods  or  services  from  any  American  citizen  or  group 
of  citizens  -  whether  such  goods  or  services  are  for  use  in  the 
American  home,  in  hospitals,  schools;  in  private  business,  includ¬ 
ing  transportation,  communications,  or  in  any  other  activity  of 
normal  American  life. " 

"The  draft- industry  provision  of  the  Act  ( Section  9, 
Selective  Training  and  Service  Act  of  1940,  approved  September  16, 
1940)  makes  no  explicit  or  implied  exemption  of  newspapers  or 
periodicals.  The  printing  plants  of  newspapers  are  not  exempt. " 

"Telephone  and  telegraph,  motion  pictures,  railroads, 
electric  and  gas  stations,  all  have  plants  capable  of  furnishing 
war  supplies.  And,  therefore,  they  are  not  exempt." 

XXXXXXXXXX 

AUTHORIZES  RADIOTELEPHONE  TO  CHESAPEAKE  BAY  ISLANDS 

The  Federal  Communications  Commission  has  granted  an 
extension  of  telephone  facilities  from  Crisfield,  Md.  to  Tangier 
and  Smith  Islands  by  means  of  radiotelephone.  In  granting  these 
applications  to  the  Chesapeake  &  Potomac  Telephone  Company  of 
Baltimore  City  and  the  Chesapeake  &  Potomac  Telephone  Company  of 
Virginia,  the  Commission  made  it  clear  that  it  was  not  establish¬ 
ing  the  policy  of  authorizing  radiotelephone  facilities  instead  of 
wire  line  facilities,  but  recognized  that  radiotelephone  might  be 
used  in  extenuating  circumstances  to  provide  telephone  service  to 
the  public  when  such  service  could  not  be  rendered  through  wire 
line  facilities. 

The  above-mentioned  islands  are  located  in  the  Chesapeake 
Bay  area  approximately  13  miles  from  the  shore.  The  proposed  sta¬ 
tions  will  provide  a  telephone  circuit  available  between  Crisfield 
and  each  of  the  islands  on  a  shared  basis  or  between  the  two  is¬ 
lands.  At  Crisfield  connection  with  the  general  telephone  system 
will  be  provided.  During  the  past  few  Winters  these  islands  have 
become  isolated  due  to  ice  and  weather  conditions  and  it  has  be¬ 
come  necessary  to  organize  relief  parties  for  the  purpose  of  pro¬ 
viding  food  for  the  inhabitants.  During  one  Winter  the  life  of  a 
State  trooper  was  lost  while  attempting  to  cross  the  ice  with  nec¬ 
essary  food  and  supplies.  During  the  Winter  of  1939  and  1940  the 
applicant,  while  planning  on  a  permanent  means  to  connect  these 
islands  with  the  regular  telephone  system,  established  emergency 
radio  facilities.  Experience  has  shown  that  there  is  an  important 
need  for  communication,  since  the  facilities  were  employed  on  a 
number  of  cases  to  request  foodstuffs  and  medical  supplies  for  the 
people  on  the  islands.  At  the  present  time,  there  are  approxi¬ 
mately  800  people  on  Smith  Island  and  1400  on  Tangier  Island  who 
are  engaged  principally  in  the  fishing  industry. 

The  service  between  Crisfield  and  the  Islands  can  best 
be  provided  by  means  of  radiotelephone  rather  than  submarine  cable, 
since  the  large  amount  of  activity  by  fishing  and  oyster  boats  in 
the  vicinity  would  create  a  hazard  to  the  cable. 

XXXXXXXXX 
-  10  - 


10/18/40 


TRAMMELL  PUTS  PREMIUM  ON  ALMONTE  COURTESY 


Anyone  who  has  been  pushed  around  and  high-hatted  by  the 
male  attendants  in  broadcasting  stations  will  approve  a  very 
unusual  order  issued  by  Niles  Trammell,  new  President  of  the 
National  Broadcasting  Company,  who  is  shaking  things  up  all  along 
the  line  and  making  numerous  changes  in  personnel.  It  is  that  the 
employees  of  the  company  be  courteous  to  the  studio  and  office 
visitors.  Niles  suggests  to  get  further  pointers  on  this  that 
they  see  Senor  Don  John  de  Jara  Almonte,  longtime  Nigh  Manager  of 
NBC,  who,  because  of  his  gentlemanly  ways  has  been  frequently  refer¬ 
red  to  as  the  "diplomat  of  the  kilocycles".  In  fact,  one  Washington 
visitor  was  so  impressed  by  Mr.  Almonte’s  diplomacy  in  handling 
people  that  he  suggested  he  would  be  a  good  man  for  our  Ambassador 
to  Spain. 

Mr.  Trammell  being  from  Georgia,  the  home  of  good  manners, 
was  likewise  impressed  with  this  outstanding  ability  of  Mr.  Almonte 
and  also  the  value  of  courtesy  to  the  customers  and  visitors, 
accordingly  issued  the  following  memo  to  all  departments  and  divi¬ 
sion  heads  of  the  NBC: 

"It  is  a  matter  of  concern  to  me  that  in  the  discharge  of  our 
responsibilities  as  executives  of  the  National  Broadcasting  Company, 
neither  you  nor  I  are  able  to  devote  as  much  time  as  we  would  wish 
to  those  courtesies  which  mean  so  much  in  fostering  good  will  and 
developing  closer  friendships  between  NBC  and  its  clients,  agencies, 
affiliated  stations  and  other  important  contacts. 

"To  remedy  this  situation  the  office  of  Assistant  to  the  Presi¬ 
dent,  occupied  by  Mr.  John  Almonte  was  created.  Now,  while  an 
attractive  brochure  ’After  Hours’  was  mailed  to  clients  and  agencies 
last  April,  it  is  from  within  our  own  organization  that  the  fullest 
appreciation  of  the  opportunity  to  create  good  will  through  the  use 
of  Mr.  Almonte’s  services  must  come.  In  this  connection,  I  may  say 
that  'After  Hours'  did  not  quite  cover  the  whole  picture.  Mr. 
Almonte  is  available  at  any  hour  when  he  can  be  of  service  to  NBC. 

"While  the  very  nature  of  Mr.  Almonte's  assignment  makes  it 
necessary  that  he  be  kept  free  of  the  details  of  operation  of  any 
department,  his  unique  ability  may  be  very  helpful  to  all  depart¬ 
ments.  For  example,  the  September  1940  list  of  network  advertisers 
carries  the  names  of  seventy- four  clients  -  our  networks  embrace 
over  two-hundred  stations  -  potential  clients  are  continually  having 
auditions.  I  believe  you  will  agree  with  me  that  in  our  relation¬ 
ship  with  all  of  these  a  little  extra  courtesy  and  helpful  friend¬ 
liness  might  be  very  useful  to  NBC. 


"I  plan  to  discuss  these  matters  with  Mr.  Almonte  at  regular 
intervals  and  I  shall  hope  to  hear  that  you  are  all  taking  advant¬ 
age  of  the  services  he  can  render.  I  have  found  him  a  help. " 


xxxxxxxx 


11 


*  j 


■ 


ALL  AMERICA  CABLES  STANDS  BEHIND  DRAFTED  EMPLOYEES 


Frank  W.  Phelan,  President  of  All  America  Cables  and 
Radio,  Inc.,  and  President  of  the  Commercial  Mackay  Corp.,  which 
comprises  the  Commercial  Cable  Co. ,  Mackay  Radio  and  Federal  Tele¬ 
graph,  announced  this  week  that  any  American  citizen,  who  is  a 
regular  employee  of  these  companies  or  subsidiaries,  who  is  called 
into  or  voluntarily  enters  active  service  in  the  National  Guard, 
Army,  Navy  or  Marine  Corps  for  a  period  of  one  year  and  40  days  or 
less,  will  be  re-employed  in  his  former  position  or  an  equivalent 
position  upon  satisfactory  completion  of  such  service. 


An  emoloyee  entering  any  of  these  services  for  this  per¬ 
iod  of  time  will  be  granted  a  leave  of  absence  and  will  be  given 
credit  in  his  record  of  service  with  the  company.  The  company 
will  give  one  month’s  pay  to  any  employee  who  has  been  with  the 
company  for  over  one  year  and  will  carry  his  entire  group  insur¬ 
ance  for  him  for  the  oeriod. 


XXXXXXXXX 


RCA  CIRCUIT  BETWEEN  U. S.  AND  FINLAND  OPENED 


The  world-wide  services  of  R.  C. A.  Communications,  Inc., 
were  increased  this  week  by  the  opening  for  the  first  time  of  a 
direct  radiotelegraph  circuit  between  the  United  States  and  Finland. 
Heretofore,  it  has  been  necessary  to  route  messages  between  the 
two  countries  by  way  of  Stockholm. 

The  new  circuit  operates  between  the  cities  of  New  York 
and  Helsinki.  Messages  between  this  country  and  Finland  may  be 
filed  or  received  at  any  R.  C. A.  Communications  office  in  the 
United  States. 

In  addition  to  the  circuit’s  obvious  advantages  to  busi¬ 
ness  and  government  circles,  RCAC  officials  said,  it  is  believed 
that  operation  of  a  direct  radio  link  should  do  much  to  further 
cement  the  excellent  relations  long  existing  between  Finns  and 
Americans. 

XXXXXXXXXX 
COLUMNISTS  TO  REPORT  ON  DEFENSE? 

The  Washington  Post  carried  this  paragraph  recently  by 
Leonard  Lyons: 

"Arrangements  have  been  completed  for  a  series  of  Sunday 
night  broadcasts,  sponsored  by  the  United  States  Government,  over 
all  the  hookups.  The  broadcasts  will  feature  four  commentators  - 
Wythe  Williams, Walter  Winchell, Elmer  Davis  and  H.V.  Kaltenbom  - 
each  of  whom,  for  6  minutes,  will  report  to  the  National  exactly 
what  the  Government  has  accomplished  for  National  Defense  during 
the  preceding  week.  Their  reports  will  be  in  four  classifications: 
Army,  Navy  (Winchell),  Air  and  Industry.  Each  will  be  free  to 
make  his  own  analysis  and  criticism, unhampe re d  by  any  censorshin. " 

XXXXXXXXXX  -IP- 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  OCTOBER  22,  1940 


Decrease  In  Communication  Equipment  Products . 2 

New  Brooklyn  Station  Sought . 5 

Despite  Color  Early  Television  Standards  Hoped  For . 5 

Federal  Protest  Seen  If  ASCAP  Blackout . 6 

Changing  An  Editor's  Politics . 7 

WJSV  Celebrates  Eighth  Birthday . .....7 

Broadcast  Application  Examination  Revised . 8 

WQXR  Asks  More  Time  For  Expansion . 8 

Another  Long  Title  For  Mr.  Rockefeller . 8 

Boake  Carter  Comeback  May  Cause  Congressional  Ire . 9 

Trade  Notes . .1 . 10 

Reviews  Broadcasting  Regulations . 11 

Improved  Electricity  Broadcast  Device  Shown . 11 

I.  T.  &  T.  Protects  Military  Service  Employees . 12 

Wage-Hour  Law  Recommendations  Decided  Upon . 12 

WMCA  Studios  Reproduced  By  A1  Jolson . . . 12 


)*•£•  -‘r"-  wtindi  Wit.NT 

I  IQ>  £  *  li  a » it  ;i  a  i 

|  OCT  2  3 1940^  i 

I 


\ 


. 


' 


‘ 


. 


. 


October  22,  1940 


DECREASE  IN  COMMUNICATION  EQUIPMENT  PRODUCTS 


Manufacturers  of  communication  equipment  reported  moder¬ 
ate  decreases  in  employment,  wages,  and  production  for  1939  as  com¬ 
pared  with  1937,  according  to  preliminary  figures  compiled  from 
returns  of  the  Census  of  Manufactures  for  1939  and  released  by 
Director  William  Lane  Austin,  Bureau  of  the  Census,  Department  of 
Commerce . 

This  industry,  as  constituted  for  census  purposes,  embraces 
establishments  primarily  engaged  in  the  manufacture  of  electric 
signaling  apparatus  (other  than  railway);  signals  and  attachments 
(railway);  telephone  and  telegraph  equipment;  and  miscellaneous 
radio  parts  except  loud  speakers  and  microphones  which  are  a  part 
of  the  Radios,  Radio  Tubes,  and  Phonographs  industry. 

The  wage  earners  primarily  engaged  in  manufacturing  in 
this  industry  in  1939  numbered  32,119,  a  decrease  of  21.6  percent, 
compared  with  40,981  reported  for  1937,  and  their  wages,  $44,444,379 
decreased  19.7  percent  as  compared  with  $55,326,496,  reported  for 
1937.  These  decreases  may  be  partially  accounted  for  by  the  fact 
that  the  1939  Census  of  Manufactures  questionnaire,  for  the  first 
time,  called  for  personnel  employed  in  distribution,  construction, 
etc.,  separately  from  manufacturing  employees  of  the  plants.  It  is 
not  known  how  many  of  the  wage  earners  reported  for  1937  were  en¬ 
gaged  in  distribution  and  construction  and  how  many  were  engaged  in 
manufacturing.  Employees  of  the  plants  reported  as  engaged  in  dis¬ 
tribution  and  construction  activities  in  1939  are  not  included  in 
this  preliminary  report  but  will  be  included  in  the  final  report. 

The  value  of  products  of  the  industry  for  1939  amounted 
to  $191,326,  489,  a  decrease  of  15.9  percent,  compared  with  $227,- 
523,931  reported  for  1937. 

Summary  statistics  for  1939  and  1937  are  given  in  Table  1. 
Detailed  statistics  on  production  are  given  in  Table  2.  All  figures 
for  1939  are  preliminary  and  subject  to  revision. 


Table  1.  -  Summary  for  the  Industry:  1939  and  1937 

(Because  they  account  for  a  negligible  portion  of  the  national 
output,  plants  with  annual  production  valued  at  less  than 
$5,000  have  been  excluded  since  1919) 

(Table  follows  next  page) 


2  - 


10/22/40 


Table  1  (Cont’d) 


Percent  of 


1939  1937  increase  or 

decrease (-) 


Number  of  establishments  .  .  . 

227 

187 

21.4 

Salaried  personnel  1/ . 

9,305 

13 , 470 

-30.  9 

Salaries  1/2/  . 

.$  25,325,092 

$  29,740,220 

-14.8 

Wage  earners  (average  for 

the  year)  3/  . 

32,119 

40,981 

-21.6 

Wages  2/  3/~ . 

. $  44,444,379 

$  55,326,496 

-19.7 

Cost  of  materials, supplies, 
fuel, purchased  electric 

energy, and  contract  work  2/  . 

. $  48,353, 690 

$  65 , 180, 56o 

-25.  8 

Value  of  products  2 /  . 

. $191,326, 489 

$227,523,931 

-15.  9 

Value  added  by  manufacture  4/. 

. $142, 972,799 

$162,343,366 

-11.  9 

i/  No  data  for  employees  of  central  administrative  offices  are 
included. 

2/  Profits  or  losses  cannot  be  calculated  from  the  census  figures 
because  no  data  are  collected  for  certain  expense  items,  such  as 
interest,  rent,  depreciation,  taxes,  insurance,  and  advertising. 

3/  The  itme  for  wage  earners  is  an  average  of  the  numbers  report¬ 
ed  for  the  several  months  of  the  year  and  includes  both  full-time 
and  part-time  workers.  The  quotient  obtained  by  dividing  the  amount 
of  wages  by  the  average  number  of  wage  earners  should  not,  therefore 
be  accepted  as  representing  the  average  wage  received  by  full-time 
wage  earners. 

4/  Value  of  products  less  cost  of  materials,  supplies,  fuel,  pur¬ 
chased  electric  energy,  and  contract  work. 

Table  2  -  Products,  by  Class,  Number,  and  Value:  1939  and  1937 


1939 

1937 

1. 

Communication  Equipment  industry, 

$191,326,489 

2. 

all  products,  total  value 

Communication  equipment  made 

$227,523,931 

3. 

in  the  industry . 

Miscellaneous  products  not 

150,862,615 

167, 560,396 

4. 

specified . 

Receipts  for  contract  and 

4,016,460 

14, 856, 630 

5. 

repair  work . 

Other  products  (not  classified 

347, 660 

91,029 

6. 

in  this  industry) . 

Communication  equipment  made  as 
secondary  products  in  other 

1/36, C09, 754 

45,015,876 

industries  .... 

Communication  equipment,  aggregate 

2/14,543, 233 

26,050, 800 

value  (sum  of  2  and  6) 

(Table  continued) 

-  3  - 

$165,405,848 

$193,611,196 

10/22/40 


Table  2.  (Continued) 


1959  1957 


Radio  apparatus: 

Miscellaneous  parts .  $  45,665,666 

Radio  transformers — 

For  receiving  sets — 

Number  reported— 

Number . 

Value .  $ 

Number  not  reported,  value  .  .  $ 

For  transmitting  sets,  value  .  .  $ 


6,767,722 
5, 279, 956 
1, 951,811 
607,785 


Signaling  apparatus,  electric  (other 

than  railway) . 

Audible  signals  . 

Burglar-alarm  and  hold-up  apparatus 

Contact  devices . 

Electric  street  traffic-signal 

apparatus  and  accessories  . 

Fire  and  watch  signal  apparatus.  .  . 
Hospital  signaling  apparatus  .... 
Nonautomatic  internal  telephone 

apparatus . 

Relays . 

Visible  signals . 

Municipal  fire  and  police  signaling 
systems,  including  sprinkler  super¬ 
visory  and  automatic  fire-detecting 

devices . 

Railroad  highway  grade  crossing 
signals  (exclusive  of  relays  and 

other  control  apparatus  . 

Othe  r  4/ . 


$  4,252,460 
$  855,822 
$  284,950 

$  1,265,595 
$  881,647 
$  757,071 

$  595,454 
$  258,211 
$  416,500 


$  1,010,865 


$  1,454,244 

$  7,791,928 


$  47,528,415 


8,859,645 
$  4,479,608 
|  5,589,605 
$  487,650 


$  5,162,475 
$  1,007,687 
$  259,887 

$  1,245,950 
$  495,954 
|  452,920 

$  585,812 
$  288,112 
$  420,701 


(3) 


(3) 

$  14,547,792 


Telephone  and  telegraph  apparatus 
(not  including  wireless)  .  .  . 


94,557,945  $115,882,648 


1/  Ignition  apparatus,  insulated  wire,  telephone  and  telegraph 
cable,  laboratory  testing  instruments,  resistance  welding 
electrodes,  transformers. 

2/  Incomplete;  complete  figures  will  be  given  in  the  final  report. 

3/  Included  in  u0ther"  electrical  signaling  apparatus  in  1957. 

4/  Includes  laboratory  electrical  test  equipment,  and  railway  sig¬ 
nals  and  attachments  (including  automatic  train  controls),  and 
visual  and  audible  code-calling  systems  for  1959  and  1957. 

See  all  items  covered  by  footnote  5. 

xxxxxxxxxxxxxxx 

-  4  - 


•  \  „■ 


10/22/40 


NEW  BROOKLYN  STATION  SOUGHT 


Following  the  granting  of  license  for  Station  WLTH,  The 
Voice  of  Brooklyn,  and  a  general  clearing  up  of  the  Brooklyn  broad¬ 
casting  situation  after  years  of  litigation,  an  application  has 
been  received  from  the  Frequency  Broadcasting  Corporation  of  Brooklyn 
to  construct  a  new  station  to  be  operated  on  620  kilocycles,  500 
watts,  daytime  only. 

The  same  company  has  applied  for  a  new  high  frequency 
broadcast  station  to  be  operated  on  43,700  kilocycles  with  a 
coverage  of  14,400  square  miles,  and  a  population  area  of  11,900,000. 

XXXXXXXXXX 


DESPITE  COLOR  EARLY  TELEVISION  STANDARDS  HOPED  FOR 


Notwithstanding  the  apprehension  the  industry  seems  to 
have  that  there  may  be  delay  and  added  cost  if  Chairman  James  L. 

Fly,  Chairman  of  the  Federal  Communications  Commission  insists 
that  the  rebirth  of  television  be  in  color  instead  of  black  and 
white,  W.  R.  G.  Baker,  of  the  General  Electric  Company,  Chairman 
of  the  National  Television  System  Committee  still  expressed  the 
hope  that  television  standards  could  be  completed  by  January  1. 
Already  several  panels,  or  committees,  have  completed  plans  for 
undertaking  this  work.  Certain  of  the  panels  whose  work  involves 
consideration  of  color  and  the  possible  application  of  Frequency 
Modulation  still  have  a  great  deal  of  work  ahead  of  them.  Among 
the  panels  yet  to  be  heard  from  and  the  tentative  completion  dates 
are : 

Panel  1  -  System  Analysis,  November  1 
Panel  2  -  Subjective  Aspects,  November  1 
Panel  7  -  Picture  Resolution,  November  1 
Panel  8  -  Synchronization,  November  15 
Panel  9  -  Radiation  Polarization,  December  1 

"The  sixteen  members  of  the  National  Television  Systems 
Committee  represent  manufacturing  companies,  research  organizations, 
and  utilities  actively  engaged  in,  or  closely  associated  with  the 
radio  industry.  Of  the  fifteen  voting  members  -  the  Chairman 
having  no  vote  -  eight  represent  companies  associated  with  the  Radio 
Manufacturers ’  Association.  There  is,  in  addition,  one  representa¬ 
tive  of  the  Radio  Manufacturers’  Association  of  Canada,  Ralph  A. 
Hackbush,  who  acts  as  an  observer  only",  Mr.  Baker  reported. 

"The  detailed  analytical  work  is  handled  by  nine  panels 
consisting  of  138  members  representing  41  companies  or  organizations. 
Of  these  41  companies,  19  represent  receiver  manufacturers;  5  repre¬ 
sent  manufacturers  producing  both  transmitters  and  receivers;  9 
represent  universities  or  research  organizations;  4,  utilities; 

3,  broadcasting  organizations,  and  one,  consultant. " 

XXXXXXXX 
-  5  - 


j .kj /  dc>r 


FEDERAL  PROTEST  SEEN  IF  ASCAP  BLACKOUT 


Duplicating  a  similar  performance  held  recently  at  the  San 
Francisco  Exposition,  which  it  is  alleged  was  deliberately  ignored 
by  the  radio  stations,  the  American  Society  of  Composers  will  sponsor 
a  Cavalcade  of  American  Music  at  the  New  York  World's  Fair  on  Thurs¬ 
day,  October  24.  This  may  prove  the  first  Eastern  showdown  in  the 
big  fight  between  ASCAP  and  NAB.  How  many  stations  or  networks 
will  broadcast  this  performance  remains  to  be  seen. 

If  there  is  a  duplication  of  the  West  Coast  radio  blackout, 
it  is  understood  the  Composers  will  address  a  strong  protest  to 
President  Roosevelt,  the  Federal  Communications  Commission  and 
Congress. 


said: 


Gene  Buck,  returning  from  the  ASCAP  show  at  San  Francisco, 


"The  fact  that  the  Fair  was  able  to  draw  such  a  crowd  for 
a  special  event  without  a  bit  of  help  from  radio  is  proof  that  any¬ 
one  with  an  important  message  to  put  across  to  the  public  can  still 
do  it  exclusively  through  the  press.  It  shows  that,  in  contacting 
the  public,  newspapers  still  come  first. " 

The  New  York  World' s  Fair  Cavalcade  will  comprise  the 
highlights  of  American  music,  composed  and  written  by  members  of 
the  Society.  It  is  being  given  as  part  of  the  ceremonies  celebrat¬ 
ing  its  Twenty- Fifth  Anniversary. 

There  will  be  two  concerts,  one  in  the  afternoon  and  one 
in  the  evening.  Both  will  be  free  to  the  public.  The  afternoon 
concert  will  feature  the  Rochester  Philharmonic  Symphony  Orchestra, 
and  symphonic  works  of  members  of  the  Society,  including  Henry 
Hadley  Deems  Taylor,  Dr.  Howard  Hanson,  William  Grant  Still  and 
Morton  Gould. 

The  evening  concert  will  have  Gene  Buck  as  Master-of- 
Ceremonies  and  will  be  devoted  to  a  Cavalcade  of  American  songs  of 
the  past  and  present.  There  will  be  a  tribute  to  the  memories  of 
Victor  Herbert,  ASCAP ' s  Founder;  John  Philip  Sousa  and  George 
Gershwin . 

The  following  composers  and  authors  have  come  from  Holly¬ 
wood  for  the  occasion:  Jerome  Kern,  Sigmund  Romberg,  Jean  Schwartz 
and  Walter  Donaldson.  An  extra  added  attraction  will  be  Gene  Autry, 
the  cowboy  singer-composer,  who  wil  sing  some  of  his  own  Western 
melodies. 


The  partial  program  of  composers  and  authors  who  will 
appear  in  person  and  who  will  either  play  or  sing  their  own  composi¬ 
tions,  follows: 

Irving  Berlin  -  "God  Bless  America";  George  M.  Cohan  - 
'I'm  a  Yankee  Doodle  Dandy";  "Give  My  Regards  to  Broadway",  "Grand 
Old  Flag";  Jerome  Kern  -  "Ole  Man  River",  "Smoke  Gets  In  Your  Eyes", 
All  the  Things  You  Are";  Sigmund  Romberg  -  "Lover  Come  Back  To  Me", 


6 


10/22/40 


"One  Alone",  "Sweethearts";  W.  C  Handy,  "The  St.  Louis  Blues"; 
Harry  Von  Tilzer  -  Medley;  Joe  Howard,  "I  Wonder  Who’s  Kissing  Her 
Now";  Harry  Armstrong  -  "Sweet  Adeline";  Jean  Schwartz  -  "China¬ 
town";  Johnny  Green,  "Body  and  Soul";  Billy  Hill  -  "The  Last  Round 
Up";  Ferde  Grof  -  "On  the  Trail"  from  "The  Grand  Canyon  Suite"; 
Milton  Ager  -  "Happy  Days  Are  Here  Again";  Fred  E.  Ahlert,  "Where 
the  Blue  of  the  Night  Meets  the  Gold  of  the  Day". 

XXXXXXXXXX 


CHANGING  AN  EDITOR’S  POLITICS 


In  his  book  "The  Dead  Hand  of  Bureaucracy"  just  published, 
Lawrence  Sullivan  writes,  in  a  chapter  called  "We,  The  Government": 

"An  amusing  story  in  the  records  of  the  Federal  Communi¬ 
cations  Commission  relates  how,  by  the  astute  political  use  of 
governmental  powers,  a  Massachusetts  editor  of  militant  Republican 
inclinations  was  converted  to  New  Dealism.  The  editor  decided  to 
supplement  his  newspaper  with  a  local  radio  station.  Sometime 
between  the  date  of  his  application  and  its  approval  by  the  FCC, 
the  editor  dropped  all  criticism  of  Democratic  policies,  both 
state  and  national.  But  the  first  radio  license  give  this  editor 
only  daylight  broadcasting  hours  -  after  a  considerable  investment 
in  equipment.  Thereafter  a  promise  of  night  hours  at  some  future 
date  kept  him  a  loyal  Democrat  through  the  following  three  elec¬ 
tions,  for  his  only  chance  to  bail  out  on  the  heavy  investment  was 
to  obtain  night  hours  in  the  profitable  range  of  commercial  broad¬ 
casting.  " 

XXXXXXXXXX 


WJSV  CELEBRATES  EIGHTH  BIRTHDAY 


WJSV  in  Washington  celebrated  its  eighth  anniversary  last 
Sunday  as  a  member  of  the  Columbia  Broadcasting  System.  WJSV,  now 
one  of  the  foremost  stations  in  the  country  and  broadcasting  with 
50  KW,  went  into  the  network  with  a  higher  power,  10  KW,  than  many 
stations  did  on  that  day. 

The  initial  program  was  at  9  P.M.  on  the  night  of 
October  20,  1932.  Harry  C.  Butcher,  now  a  Vice-President  of  CBS, 
was  General  Manager  of  the  station.  The  master  of  ceremonies  was 
A.  D.  ("Jess")  Willard,  Jr.,  now  General  Manager.  Handling  the 
program  with  him  were  Bob  Trout,  afterwards  stationed  at  the  White 
House,  and  Larry  Elliott,  now  two  of  the  networks  best  known 
announcers. 

XXXXXXXX 


7 


10/22/40 


BROADCAST  APPLICATION  EXAMINATION  REVISED 


The  procedure  of  the  Federal  Communications  Commission 
for  examination  of  standard  broadcast  applications  by  the  staff 
departments  has  been  revised  with  a  view  to  more  orderly  and 
expeditious  handling.  Provision  has  been  made  for  the  considera¬ 
tion  of  these  applications  simultaneously ,  as  far  as  possible,  by 
the  technical  departments.  The  methods  of  operation  of  each  of 
the  individual  units  responsible  for  the  review  of  applications  is 
also  being  studied  with  a  view  to  speeding  up  the  work. 

The  Secretary  of  the  Commission  has  been  directed  not  to 
regard  applications  as  formally  filed  with  the  Commission  until  they 
are  in  his  hands,  duly  executed,  and  complete  with  respect  to  the 
answering  of  all  required  questions.  Under  the  new  procedure,  an 
acknowledgment  card  will  be  sent  to  the  applicant  immediately  upon 
receipt  of  the  application.  If  it  is  necessary  to  return  the 
application  for  the  correction  of  formal  defects  or  to  enter  into 
correspondence  with  the  applicant  with  regard  to  correcting  his 
application  in  respect  to  any  matters  of  form,  the  applicant  will 
be  notified  that  his  application  is  not  in  form  for  consideration 
by  the  Commission  and  that  the  application  will  not  be  shown  on  the 
records  of  the  Commission  as  officially  filed  until  the  formal 
defects  specified  in  the  letter  of  notification  have  been  corrected. 
Upon  the  return  of  the  application  in  proper  form,  a  file  number 
will  be  assigned  and  the  application  will  take  its  place  in  the 
regular  order  for  consideration. 

XXXXXXXXXX 


WQXR  ASKS  MORE  TIME  FOR  EXPANSION 


WQXR  in  New  York  City  has  applied  for  more  time  to  com¬ 
plete  enlargement  and  improvement  of  the  station;  likewise  to  meet 
North  American  Regional  Agreement  requirements.  Changes  at  WQXR 
contemplate  new  equipment,  installation  of  directional  antenna  for 
day  and  night  use  and  an  increase  in  power  from  5  to  10  kilowatts; 
also  a  change  of  frequency  from  1550  to  1560  kilocycles. 

XXXXXXXXX 

ANOTHER  LONG  TITLE  FOR  MR.  ROCKEFELLER 

Nelson  Rockefeller,  President  of  Radio  City,  who  is  now 
spending  practically  all  of  his  time  in  Washington  as  Coordinator 
of  Latin- American  Economic  and  Cultural  Problems  of  the  National 
Defense  Commission,  has  had  another  impressive  title  conferred  upon 
him.  This  time  by  Jesse  Jones  who  has  appointed  Mr.  Rockefeller, 
Chairman  of  the  Inter-American  Development  Commission  of  the 
Department  of  Commerce. 


XXXXXXXXXX 

-  8  - 


10/22/40 


BOAKE  CARTER  COMEBACK  MAY  CAUSE  CONGRESSIONAL  IRE 


When  Boake  Carter  returns  to  the  radio  tomorrow  (Wednesday) 
night  after  a  two  years*  absence  from  the  networks,  he  may  again 
find  himself  the  subject  of  Congressional  debate.  It  was  the  asser¬ 
tion  of  Senator  Rush  Holt,  of  West  Virginia,  that  Mr.  Carter  was  put 
off  the  air  because  he  was  preaching  a  doctrine  of  isolationism 
against  Britain  and  it  was  at  the  instance  of  the  British  that  he 
was  no  longer  allowed  to  broadcast.  According  to  Senator  Holt, 
the  door  was  closed  to  Mr.  Carter  by  the  cancellation  of  a  contract 
with  the  company  owned  by  Mrs.  Marjorie  Post  Davies,  wife  of  Joseph 
E.  Davies,  then  American  Ambassador  to  Russia,  and  a  firm  supporter 
of  the  Administration's  foreign  policy. 

In  addition  to  the  Administration's  objection  to  Mr. 

Carter,  himself  a  naturalized  Britisher  opposing  the  British,  he 
also  found  disfavor  with  the  Administration  because  of  his  strong 
support  of  the  amendment  of  Representative  Louis  Ludlow,  of  Indiana, 
providing  for  a  popular  referendum  before  Congress  and  the  Presi¬ 
dent  could  declare  war.  This  amendment,  so  strongly  supported  by 
Carter  in  spite  of  the  opposition  of  President  Roosevelt  and 
Secretary  of  State  Hull  and  almost  unanimous  newspaper  opposition, 
was  lost  only  by  the  tiny  margin  of  214  to  196. 

In  view  of  all  this,  the  Administration,  as  well  as 
Congress,  will  no  doubt  listen  with  considerable  interest  to  Mr. 
Carter  to  see  whether  or  not  he  will  change  the  tone  of  his  comments. 

Mr.  Carter  was  born  in  Baku,  Russia,  son  of  a  British 
consular  agent  and  an  Irish  mother,  Edith  Harwood-Yarred  Carter. 

He  served  in  the  Royal  Air  Force  and  came  to  the  United  States  in 
1920,  but  was  not  naturalized  until  1933.  He  was  at  one  time  a 
newspaper  reporter  and  worked  for  some  years  in  the  oil  business  in 
Mexico  and  Central  America.  Since  1932  he  has  been  amazingly  popu¬ 
lar  as  a  radio  commentator. 

Mr.  Carter  will  be  on  the  air  from  8:30  to  8:45  P.M. , EST, 
from  WOR,  every  Monday,  Wednesday  and  Saturday.  He  returns  under 
the  auspices  of  the  United  Air  Lines,  marking  the  first  time  an  air¬ 
line  has  sponsored  a  regular  series  on  a  major  network.  A  network 
of  10  Mutual  stations  will  carry  Mr.  Carter's  news  analyses. 

With  his  new  commercial  series,  Mr.  Carter  will  shift  his 
headquarters  from  Philadelphia  where  he  has  generally  had  his  office,- 
to  New  York. 

In  addition  to  his  broadcasts,  Mr.  Carter  will  continue  to 
write  his  syndicated  column  for  over  100  papers.  He  also  plans  to 
keep  up  his  lecture  engagements  all  over  the  country  making  use  of 
airplane  transportation  to  allow  him  sufficient  time  for  his  news¬ 
casts. 


XXXXXXXXX 
-  9  - 


10/22/40 


TRADE  NOTES 


The  United  Broadcasting  Company  has  applied  to  the  Federal 
Communications  Commission  for  modification  of  license  to  operate 
Stations  WEHU,  portable-mobile,  WEHV,  mobile,  and  WRPM,  portable 
mobile,  in  connection  with  stations  WCLE  and  WHK,  Cleveland. 


Emanuel  Dannett,  for  9  years  its  legal  representative, 
has  been  elected  to  the  WOR  Board  of  Directors. 


Charles  B.  Brown  has  been  appointed  manager  of  Station 
Promotion  for  the  National  Broadcasting  Comoany,  succeeding  B.J. 
Hauser,  who  has  been  transferred  to  Blue  Network  Promotion. 


Applications  for  the  following  attorneys  to  practice 
before  the  Federal  Communications  Commission  have  been  approved: 
Milton  Diamond,  New  York  City;  Paul  J.  Kaveney,  St.  Louis,  Mo.; 
Israel  Harvey  Levinson,  Chicago,  Ill. ;  Morton  F.  Melnik,  Madison, 
Wis.  ,  and  G-.  Mallet  Prevost,  Washington,  D.  C. 


Bingham,  N.  Y.  is  seeking  a  new  station  to  be  operated 
on  1420  kilocycles  with  250  watts  power. 


The  Vacuum  Tube  Section  of  the  Radio  Manufacturers’ 
Association  is  now  being  reorganized  under  the  chairmanship  of 
R.  M.  Wise,  of  the  Hygrade- Sylvania  Corporation. 


Dr.  C.  Guy  Suits,  35-year-old  research  physicist,  was 
recently  appointed  Assistant  to  the  Director  of  the  General  Electric 
Research  Laboratory.  Dr.  Suits  has  been  a  member  of  the  Laboratory 
staff  since  1930  and  is  widely  known  for  his  research  in  high- 
ternperature  arcs. 


Hygrade  Sylvsnia  Corporation  -  Nine  months  to  Sept.  30: 
Net  profit,  before  provision  for  excess  profits  taxes,  $648,263, 
equal  after  preferred  dividend  requirements,  to  $2.64  a  share  on 
207,184  common  shares.  No  comparable  figures  for  1939  period  are 
available. 


Paul  McCluer  has  been  made  Central  Division  Red  Network 
Sales  Manager  and  E.  R.  Borroff  named  Blue  Network  Sales  Manager 
of  the  National  Broadcasting  Company.  McCluer  has  been  Manager  of 
the  Division's  Blue  Network  sales  force  and  Borroff  has  been  a 
member  of  the  Division’s  Red  network  sales  staff. 

XXXXXXXXXX 
-  10  - 


10/22/40 


REVIEWS  BROADCASTING  REGULATIONS 


Reprints  are  now  available  of  a  detailed  discussion  of 
"Law  Developments  in  Federal  Regulation  of  Broadcasting"  written 
by  Louis  G.  Caldwell,  former  General  Counsel  of  the  old  Federal 
Radio  Commission,  for  the  1940  Variety  Radio  Director. 

In  his  introduction  Mr.  Caldwell  writes: 

"On  the  credit  side  of  developments  in  federal  regulation 
of  radio  in  the  year  just  closed  should  be  listed  increasing  ef¬ 
ficiency,  in  the  sense  of  prompt  and  incisive  action,  and  the 
freedom  from  external  evidence  of  bickering  and  dissension,  which 
began  during  the  closing  two  months  of  the  previous  year,  and  has 
continued  during  the  year  just  closed.  The  commission’s  prestige 
has  been  correspondingly  enhanced.  Counterbalancing  this  (or  as 
additional  credits,  depending  on  the  viewpoint)  must  be  placed 

(1)  the  persistent  procedural  trend  toward  decisions  in  quasi¬ 
judicial  matters  without  hearing,  toward  avoiding  or  minimizing 
the  rights  of  persons  adversely  affected  to  be  heard  either  before 
the  Commission  or  on  appeal,  and  toward  substitution  of  the  ’ invest i 
gative  technique1  for  due  process  of  law  in  the  traditional  sense; 

(2)  the  equally  persistent  substantive  trend  toward  so-called 
’value  judgments'  without  statement  of  reasons  or  fixing  of  prin¬ 
ciples  and  with  frequent  disregard  of  principles  or  standa.rds  al¬ 
ready  announced,  necessarily  leading  to  lack  of  uniformity  and  un¬ 
predictability;  and  (3)  a  marked  effort  toward  expansion  of  power, 
particularly  in  the  direction  of  economic  regulation  of  industries 
subject  to  the  Act. 

"The  one  new  factor  is  the  crisis  engendered  by  the  war 
in  Europe  which  at  times  bids  fair  to  reverse  the  downward  trend  of 
censorship  and  to  open  up  an  all-too-tempting  vista  for  further  ex¬ 
pansion  of  inquisitorial  and  bureaucratic  control  over  broadcasting. 

In  his  review  Mr.  Caldwell  discusses  broadcast  regulation 
under  the  following  heads:  "The  Machinery  of  Regulation",  "Regula¬ 
tion  of  Standa.rd  Broadcast  Stations",  "Regulation  of  Radio  Services 
Related  to  Broadcasting",  "Appeals  from  the  Commission's  Decisions", 
and  "International  Radio  Regulation". 

xxxxxxxxx 

IMPROVED  ELECTRICITY  BROADCAST  DEVICE  SHOWN 

An  improved  "Klystron",  a  generator  that  sends  electrical 
power  through  the  air,  was  demonstrated  before  100  engineering 
professors  and  other  educators  from  seventy-five  Eastern  colleges 
and  universities  and  other  guests  at  the  laboratories  of  the  West- 
inghouse  Electric  and  Manufacturing  Company  in  Bloomfield,  N. J. 

The  new  type  of  generator  was  hailed  as* bringing  the  wireless  trans¬ 
mission  of  electricity  a  step  nearer  to  practical  application,  such 
as  providing  power  for  illumination  and  "domestic  uses  in  homes. 

The  short-waves  emitted  by  the  machine  were  demonstrated  by  I.  E. 
Mouromtseff,  Research  Engineer  of  the  company's  Special  Products 
Engineering  Department. 

XXXXXXXXXX 

-  11  - 


10/22/40 


I.  T.  &  T.  PROTECTS  MILITARY  SERVICE  EMPLOYEES 


Col.  Sosthenes  Behn,  President  of  the  International  Tele¬ 
phone  and  Telegraph  Corporation,  has  announced  the  Company's  policy 
in  regard  to  employees  who  enter  the  active  military  service  of  the 
United  States. 

Leave  of  absence  up  to  one  year  will  be  granted  to  any 
such  employee.  Upon  application  within  40  days  of  the  conclusion  of 
such  period  employees  will  be  reinstated  by  the  Company  in  previous 
positions  or  positions  of  comparable  status  unless  the  Company’s 
circumstances  are  so  changed  that  it  will  make  it  impossible  to  do 
so . 


Employees  of  more  than  one  year’s  standing  will  receive 
one  month’s  regular  pay.  Under  the  Company’s  pension  plan  these 
employees  will  receive  full  credit  for  the  previous  term  of  employ¬ 
ment  plus  such  period.  The  Comnany  will  pay  the  employee’s  present 
Group  Insurance  premiums  for  him  during  such  period  of  service  and 
during  this  time  the  employee  will  be  entitled  to  the  Company’s 
regular  death  benefit  under  its  pension  and  benefit  plan  less  that 
which  is  paid  by  the  Government. 

xxxxxxxxxx 

WAGE-HOUR  LAW  RECOMMENDATIONS  DECIDED  UPON 

In  anticipation  of  prospective  appointment  by  the  Federal 
Wage  and  Hour  Administration  of  a  radio  ’’Industry  Committee ,f  to 
consider  wage  standards  under  the  law,  the  Radio  Manufacturers’ 
Association  has  made  preparations  to  recommend  appointments  on  the 
employers’  group  of  such  a  committee.  For  these  appointments  the 
RMA  Set  Division  has  chosen  A.  S.  Wells  and  J.  P.  Rogers,  of 
Chicago;  the  Tube  Division,  Roy  Burlew  of  Owensboro,  Kentucky, 
and  M.  F.  Balcom,  of  Emporium,  Pa.;  the  Parts  and  Accessories 
Division,  Octave  Blake  of  So.  Plainfield,  N.  J. ,  and  J.  H.  Stack- 
pole  of  St.  Marys,  Pa. ,  and  the  Amplifier  and  Sound  Equipment  Divi¬ 
sion,  Messrs.  G.  Hamilton  Beasley,  of  Chicago,  and  L.  A.  Randall, 
of  Rochester,  N.Y.  Further  procedure  toward  organization  of  the 
contemplated  Radio  Industry  Committee  is  expected  within  the  next 
month  or  two  on  the  initiative  of  the  Wage-Hour  Administration. 

•V-""'  xxxxxxxxxx 
WMCA  STUDIOS  REPRODUCED  BY  AL  JOLSON 

An  unusual  promotion  venture  was  concluded  when  Broadway’s 
current  musical  hit  starring  A1  Jolson  "Hold  On  To  Your  Hats"  re¬ 
decorated  their  sets  with  WMCA  call  letters  in  the  secnes  of  an 
interior  of  a  radio  broadcasting  station.  The  call  letters,  some 
standing  three  feet  high,  decorate  the  walls  of  the  stage  and  the 
microphones  in  scenes  3,  4,  5  and  6  of  Act  1.  The  theatre  program 
also  lists  the  settings  in  this  act  as  taking  place  on  "Stage  of 
WMCA  Broadcasting  Studio"  or  its  studio,  recent  ion  room  and  corri¬ 
dors,  respectively. 

XXXXXXXXXXX 
-  12  - 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


I 

INDEX  TO  ISSUE  OF  OCTOBER  25,  1940 


Not  The  War  But  Ionosphere  Storms . 2 

FCC  Amends  Amateur  Rules . 3 

Paid  Time  Seen  As  Political  Test . 3 

Richmond  Station  Asks  Increase . 3 

Newfoundland  Station  Figures  In  Portland  Denial . 4 

Engineers  Prepare  For  Fall  Meeting . 5 

Full  Steam  Ahead  For  RCA  In  National  Defense . 6 

Sixteen  Stations  Granted  Power  Increases . 8 

Crosley  On  All  Six  International  Frequencies . 9 

Comell-CBS  Hookup  Approved . . . 10 

Trade  Notes . 11 

Defense  Commission  Surveys  Radio . 11 

NBC  Returns  To  Air  With  Television  Tests . 12 

WJJD  And  WIND  On  Competitive  Basis . 12 


No.  1277 


NOT  THE  WAR  BUT  IONOSPHERE  STORMS 


If  the  short-wave  programs  from  Europe  do  not  come  in  as 
clear  this  Winter  as  those  from  South  America,  don’t  blame  it  on 
the  war.  Dr.  A.  T.  Consentino  of  the  Argentine  Ministry  of  the 
Interior,  and  Dr.  J.  H.  Dellinger  in  the  U.  S.  Bureau  of  Standards 
in  Washington,  declare  in  a  joint  article  that  because  of  ionosphere 
storms  radio  signals  going  north  and  south  at  this  season  are  much 
greater  in  volume  and  considerably  less  variable  than  broadcasts 
between  the  United  States  and  Europe. 

The  study  was  made  to  determine  what  happens  on  trans¬ 
mission  paths  between  South  America  and  the  other  continents,  and 
has  yielded  an  explanation  of  the  North  Atlantic  anomaly. 

The  work  was  confined  to  the  northern  winters  or  southern 
summers,  because  it  is  only  at  that  time  of  year  that  there  is  an 
opportunity  to  make  observations  in  the  Americas  on  radio  broadcast¬ 
ing  from  Europe.  Radio  transmission  at  broadcast  frequencies  occurs 
over  great  distances  only  at  night,  and  it  is  only  in  December  and 
adjacent  months  that  there  are  periods  when  local  interference  is 
absent  and  night  prevails  throughout  the  region  between  Europe  and 
eastern  North  America  or  Argentina. 

The  work  of  the  noted  Argentine  and  American  scientists 
has  established  the  fact  that  radio  transmission  between  South 
America  and  either  North  America  or  Europe  is  relatively  free  from 
influences  that  seriously  impair  transmission  between  North  America 
and  Europe.  For  the  time  of  year  at  which  the  measurements  were 
made  (northern  winter  or  southern  summer) ,  the  received  intensities 
for  transmission  between  North  America  and  South  America  average 
approximately  25  times  the  intensities  between  North  America  and 
Europe,  and  are  only  about  one- fifteenth  as  variable. 

The  conditions  of  low  and  variable  received  intensity  are 
characteristic  of  radio  transmission  over  any  path  at  times  of 
inosphere  storms.  Since  the  North  America-Eurooe  transmission  path 
is  near  the  magnetic  pole  and  auroral  zone,  where  ionosphere 
storms  have  maximum  effects,  that  path  is  thus  markedly  subject  to 
ionosphere  storms,  even  relatively  slight  ones  which  would  have  no 
effect  on  transmission  over  paths  farther  south. 

The  effect  occurs  at  high  as  well  as  broadcast  frequencies 
and  is  so  marked  that  it  is  commonly  impossible  to  communicate  dir¬ 
ectly  between  North  America  and  Europe  during  ionosphere  storms, 
and  radio  traffic  is  then  actually  carried  on  by  relaying  through 
Buenos  Aires.  As  these  conditions  prevail  for  several  days,  the 
North  America-Europe  transmission  path  is  almost  never  entirely 

-  2  - 


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free  from  ionospheric  storminess,  the  prevalence  of  which  in  the 
transmission  path  appears  to  present  a  complete  explanation,  Dr. 
Consentino  and  Dr.  Dellinger  conclude,  of  the  unsatisfactory 
transmission  between  North  America  and  Europe. 

xxxxxxxxx 


FOC  AMENDS  AMATEUR  RULES 


The  Federal  Communication  Commission’s  Rules  and  Regula¬ 
tions  was  modified  for  a  temporary  period  so  as  to  permit  an 
amateur  station  which  is  moved  from  one  permanent  location  to 
another  permanent  location  prior  to  May  1,  1941,  to  be  operated 
at  the  latter  location  (in  accordance  with  the  provisions  govern¬ 
ing  portable  stations)  for  a  period  not  exceeding  four  months,  but 
in  no  event  beyond  the  expiration  date  of  the  license;  provided  a 
proper  application  for  modification  of  license  is  duly  filed  with 
the  Commission. 


XXXXXXXXX 


PAID  TIME  SEEN  AS  POLITICAL  TEST 


Mark  Sullivan,  the  political  writer,  has  offered  the 
following  suggestion  as  to  how  to  tell  the  difference  between 
"President  Roosevelt"  and  "Mr.  Roosevelt,  the  Third  Term  candidate". 

"To  save  hearers  and  readers  from  the  inconvenience  of 
determining  which  of  Mr.  Roosevelt’s  utterances  is  political  and 
which  presidential,  a  method  of  labeling  has  been  thoughtfully 
arranged.  When  the  Democratic  National  Committee  pays  the  cost 
of  the  radio  time  and  the  expense  of  the  trip,  it  is  a  political 
speech.  When  the  Government* pays  the  expense  of  the  trip,  and 
the  radio  time  is  donated  to  the  President  as  a  public  official, 
that  is  a  presidential  speech. 

Thus,  the  public  is  benevolently  enabled  to  know  when 
Mr.  Roosevelt  is  appealing  impartially  and  officially  to  all  the 
people,  in  the  interest  of  national  defense,  and  when  he  is  seeking 
votes  for  himself.  " 

X  X  X  X  XX  X  X  X  X 
RICHMOND  STATION  ASKS  INCREASE 

A  construction  permit  to  install  a  new  transmitter,  make 
changes  in  directional  antenna  for  night  use  and  an  increase  of 
power  from  1  kilowatt  to  5  kilowatts  on  880  kc. ,  has  been  applied 
for  to  the  Federal  Communications  Commission  by  Station  WRNL, 
Richmond  Radio  Corporation,  Richmond,  Va. 

XXXXXXXXX 

-  3  - 


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10/25/40 


NEWFOUNDLAND  STATION  FIGURES  IN  PORTLAND  DENIAL 


International,  as  well  as  domestic  considerations,  figur¬ 
ed  in  denial  by  the  Federal  CommunicationsCoramission  of  two  peti¬ 
tions  for  rehearing  of  its  grant,  on  July  16,  to  the  Portland 
Broadcasting  System,  Inc. ,  of  a  construction  permit  to  change  the 
frequency  of  radio  station  WGAN  at  Portland,  Me.,  from  640  to  560 
kilocycles,  and  to  increase  power  from  500  watts  limited  time  to 
5  kilowatts  unlimited  time. 

Rehearing  was  sought  by  two  petitioners  each  of  whom 
has  an  application  pending  for  the  use  of  560  kilocycles.  They 
are  Community  Broadcasting  Service,  Inc. ,  licensee  of  WABI,  at 
Bangor,  which  has  applied  to  change  its  frequency  from  1200  kilo¬ 
cycles  to  560  kilocycles  and  to  increase  its  power  from  250  watts 
to  1  kilowatt;  and  William  H.  Rines,  who  has  applied  for  a  con¬ 
struction  permit  to  erect  a  new  station  at  Portland  to  operate  on 
560  kilocycles,  with  power  of  5  kilowatts  day  and  1  kilowatt  night. 
The  three  applications  are  mutually  exclusive. 

The  Commission  points  out  that  before  WGAN  filed  its 
present  application,  it  had  filed  an  application  (later  withdrawn) 
for  unlimited  time  on  640  kilocycles.  Shortly  thereafter  the 
government  of  Newfoundland  advised  the  Commission  that  the  640 
frequency  was  assigned  to  it  by  the  North  American  Regional  Broad¬ 
casting  Agreement  and  that  Station  VONF,  which  operates  on  this 
frequency,  is  in  many  instances  the  only  effective  means  of  keeping 
the  Newfoundland  public  informed  as  to  weather  reports,  government 
decrees,  and  other  news.  Newfoundland  pointed  out  that  even  as 
then  operated  WGAN  caused  serious  interference  to  the  secondary 
service  area  of  VONF  and  that  the  grant  of  the  application  would 
increase  the  interference.  Newfoundland  proposed  that  if  the  Com¬ 
mission  would  not  assign  640  kilocycles  to  any  station  in  the 
United  States  which  would  cause  interference  to  VONF*  s  secondary 
service  area,  Newfoundland  would  relinquish  in  favor  of  the  United 
States  all  claims  to  the  frequency  560  kilocycles  also  assigned  to 
Newfoundland.  These  terms  are  mutually  agreeable  to  both  countries. 

The  Commission  found  that  WGAN  and  WABI  were  both  quali¬ 
fied  to  operate  stations  as  proposed  in  their  applications.  Between 
these  two  stations  the  question  narrowed  as  to  whether  the  public 
would  be  better  served  by  location  of  new  facilities  in  Portland 
(WGAN)  or  in  Bangor  (WABI). 

It  was  found  that  WGAN  would  provide  a  greater  service 
than  WABI.  Further,  it  appeared  that  there  is  greater  need  in 
Portland  for  the  radio  servi ce  requested  than  in  Bangor.  Portland, 
Maine's  largest  city,  is  served  both  day  and  night  by  only  one 
local  station  as  compared  to  two  stations  serving  Bangor,  with 
less  than  half  Portland's  population. 

In  the  case  of  the  Rines  application,  the  Commission 
determined  that  public  interest,  convenience  or  necessity  would  be 
better  served  by  the  WGAN  grant.  WGAN  offered  more  adequate  cover- 


„  4  _ 


10/25/40 


age.  The  WGAN  grant  did  not  involve  objectionable  interference  to 
any  station,  whereas  the  proposed  Rines  service  would  interfere 
with  CJKL  at  Dane,  Ontario,  in  violation  of  the  North  American 
Regional  Broadcasting  Agreement.  The  WGAN  equipment  is  satis¬ 
factory  but  part  of  the  proposed  Rines  installation  is  not.  The 
licensee  of  WGAN  is  better  qualified  and  has  had  more  radio 
experience  than  Rines.  Competition  between  radio  stations  in 
Portland  will  be  keener  under  the  WGAN  grant,  for  the  Rines  family 
is  interested  in  Portland's  other  station  -  WCHS  -  as  well  as  WRDO, 
Augusta,  and  WFEA,  Manchester,  N.  H. 

xxxxxxxx 


ENGINEERS  PREPARE  FOR  FALL  MEETING 


Several  hundred  radio  manufacturers  and  executives  are 
expected  to  attend  the  annual  Fall  meeting  of  the  Institute  of 
Radio  Engineers  and  the  Engineering  Department  of  the  Radio  Manu¬ 
facturers'  Association  in  Rochester,  N.Y.,  beginning  November  11th. 

James  5.  Knowlson,  of  the  Stewart  Warner  Company,  Chicago, 
President  of  the  RMA,  will  be  the  speaker  at  the  banquet  Tuesday 
evening,  November  12,  on  the  subject,  "Engineers  and  Industry". 

The  toastmaster  will  be  Dr.  A.  F.  Van  Eyck  of  New  York. 

Many  meetings  of  engineering  committees  and  subcommittees 
will  be  held  during  the  Rochester  sessions,  and  there  will  be  a 
meeting  of  the  RMA  General  Standards  Committee  on  Monday,  November 

11. 


Numerous  papers  by  outstanding  engineers  on  television, 
frequency  modulation  and  other  subjects  will  be  read  at  the  techni¬ 
cal  sessions,  whose  Chairmen  will  include  L.  C.  F.  Horle,  President 
of  the  IRE,  W.  R.  G.  Baker,  of  the  General  Electric  Company, 
Bridgeport,  Conn. ,  Dr.  Alfred  N.  Goldsmith  of  the  Radio  Corporation 
of  America,  Keith  Henney  and  Henry  Sheve  of  New  York,  and  Ralph  A. 
Hackbusch  of  the  Canadian  Radio  Manufacturers'  Association.  Also 
there  will  be  technical  exhibits  of  component  parts  and  testing 
equipment,  specially  arranged  for  engineering  staffs  and  manu¬ 
facturers,  by  thirty-two  exhibiting  companies. 

XXXXXXXXX 


The  Federal  Communications  Commission  has  had  to  censure, 
by  mail,  a  Pacific  Coast  ship  captain  who,  in  radio  discussion 
with  another  vessel  about  position  and  weather,  could  not  refrain 
from  cussing  the  latter.  His  unlawful  superfluous  language  was 
heard  by  others  and  reported  to  the  Commission. 

XXXXXXXXX 
-  5  - 


10/25/40 


FULL  STEAM  AHEAD  FOR  RCA  IN  NATIONAL  DEFENSE 


National  defense  has  become  the  radio  industry’s  main 
theme  song,  according  to  an  RCA  press  statement.  Radio  from 
research  to  assembly  line  is  geared  and  moving  as  never  before  in 
its  history  to  provide  Uncle  Sam  with  the  most  efficient  and 
extensive  communication  system  ever  operated  on  land,  sea  and  in 
the  air. 

The  recent  $7,605,773  order  placed  by  the  United  States 
Army  with  the  Radio  Corporation  of  America  was  the  largest  order  of 
its  kind  in  the  records  of  radio  manufacturing.  The  industry  is 
gearing  the  machinery  of  manufacturing  to  accelerate  production  of 
all  types  of  radio  apparatus.  Vacuum  tubes  now  are  being  turned 
out  by  the  industry  as  a  whole  at  the  rate  of  400,000  daily. 

Evidence  of  RCA' s  policy  of  "full  steam  ahead"  is  found 
in  the  recent  announcement  that  the  conooration  has  arranged  with 
a  group  of  banks  to  borrow  $15,000,000  at  1^  percent  for  five 
years,  for  expansion  of  research  and  production  facilities  to  / 
speed  national  defense  orders  of  the  Government. 

Recognizing  the  vital  role  of  communication  in  national 
defense,  the  radio  men  last  Summer  placed  large  orders  for  tool 
machinery  and  took  steps  to  remove  any  possible  "bottlenecks"  long 
before  actual  orders  were  received.  In  the  case  of  RCA,  throughout 
the  entire  organization  national  defense  is  the  "must"  program  bul¬ 
letined  as  No.  1  all  the  way  from  television  research  to  manufactur¬ 
ing,  from  domestic  broadcasting  to  international  communication.  It 
is  no  secret  that  the  National  Research  Council  at  a  time  such  as 
this  calls  in  the  experts  of  all  fields,  and  that  the  RCA  Labora¬ 
tories  have  been  enlisted  to  help  the  United  States  Government. 

"As  a  leader  in  radio,  the  RCA  is  conscious  of  its  obli¬ 
gation  to  the  Government  in  the  speedy  advancement  of  the  defense 
program",  said  Meade  Brunet,  Manager  of  Engineering  Products,  who 
is  also  in  charge  of  the  Washington  Office  of  the  RCA  Manufacturing 
Company.  "For  more  than  six  months  RCA  has  been  training  addi¬ 
tional  personnel,  while  expanding  research  and  production  facili¬ 
ties  in  a  program  that  has  added  considerably  to  employment.  Em¬ 
ployees  by  the  thousands  have  pledged  themselves  to  play  their  parts 
in  the  defense  program  and  to  deliver  all  equipment  on  schedule. 

"The  program  was  carefully  mapped  last  June", said  Mr. 
Brunet,  "and  we  are  following  it  to  the  letter.  Thoroughly  coordi¬ 
nated  all  along  the  line,  it  has  entailed  an  expenditure  of  several 
mill  ion  dollars  in  tools  and  in  expanding  manufacturing  space.  The 
RCA  did  not  wait  for  the  passage  of  the  amortization  and  tax  bill 
before  swinging  full  forice  into  action  for  national  defense.  We 
recognize  defense  as  self-preservation,  and  that  is  why  plans  were 
so  elaborately  made  early  in  1940.  This  foresight  has  averted  any 
curtailment  of  our  regular  manufacturing  of  radios  for  the  home. 

We  took  time  by  the  forelock,  since  the  World  War  shed  evidence 


6 


10/25/40 


enough  of  what  might  be  expected  of  radio  in  national  defense", 
said  Mr.  Brunet. 

So  vast  has  the  radio  industry  become  since  the  World 
War  that  it  is  estimated  military  orders  for  radio  equipment  in 
1940  will  be  fifty  to  one  compared  with  1917,  when  radio  did  not 
have  the  world-wide  scope  it  has  today.  It  is  pointed  out  that 
vacuum  tubes  in  1917  were  limited  in  number  and  highly  expensive, 
yet  today  more  than  500  different  types  are  manufactured  at  prices 
that  represent  only  a  fraction  of  those  prevailing  twenty  years  ago. 
Also  during  the  World  War  an  aviator  "just  looked  to  the  ground" 
to  find  his  way  or  get  back  to  his  base.  Today,  radio  provides  him 
with  a  voice  that  travels  far,  with  blind  flying  instruments,  and 
with  direction  finders. 

Furthermore ,  development  of  auto  radios,  short  waves, 
microwaves  and  broadcasting,  unknown  or  little  used  during  the 
World  War,  are  now  powerful  "weapons"  in  communication  on  land,  sea 
and  in  the  air.  The  massive  alternators  of  1917  have  been  replaced 
by  the  more  efficient  vacuum  tubes  that  hurl  spoken  words  around 
the  globe.  It  was  a  real  achievement  in  1917-18  to  toss  dots  and 
dashes  across  the  Atlantic  on  long  wavelengths.  Communication  ex¬ 
perts  point  out,  therefore,  that  all  the  new  uses  discovered  for 
radio  since  the  Armistice  was  signed  in  1918,  now  put  radio  far  to 
the  front  in  any  program  that  pertains  to  national  defense.  To  a 
large  extent,  radio  men  confess,  their  activities  must  be  couched 
in  secrecy  at  this  time,  especially  in  regard  to  the  development  of 
secret  communication.  But  they  are  quick  to  add,  "national  defense 
is  our  No.  1  theme  song". 

In  addition,  through  broadcasting  and  continued  improve¬ 
ment  of  the  American  system,  the  public  is  being  informed  quickly 
of  all  new  developments  at  home  and  abroad.  Since  broadcasting  as 
a  public  service  was  a  "by-product"  of  the  World  War,  such  simul¬ 
taneous  contact  with  the  populace  was  not  possible  when  the  A.  E. F. 
was  overseas.  Also  today,  radio  is  an  important  Pan-American  link 
of  friendship  that  helps  to  knit  the  Americas  "all  for  one,  one  for 
all". 

The  key  to  putting  the  United  States  far  in  the  lead  in 
radio  is  generally  recognized  as  research,  out  of  which  it  is  ex¬ 
pected,  based  on  World  War  experience,  to  bring  forth  new  instru¬ 
ments,  if,  as,  and  when  world  peace  lifts  the  curtain  of  mystery 
behind  which  the  radio  research  experts  are  now  at  work. 

XXXXXXXXX 


A  Baltimorean  has  made  inquiry  at  the  Federal  Communica¬ 
tions  as  to  his  eligibility  for  a  license  to  operate  an  amateur 
station  on  premises  which  he  owns  Jointly  with  his  mother  who  is  ar_ 
alien.  This  would  be  contrary  to  regulations  which  restrict  place 
of  amateur  station  operation  to  control  of  United  States  citizens 
exclusively. 

XXXXXXXXXX 
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SIXTEEN  STATIONS  GRANTED  POUTER  INCREASES 


At  one  sitting  this  week  the  Federal  Communications 
Commission  granted  increases  in  power  to  sixteen  stations  and 
set  hearings  for  boosts  for  three  more.  The  stations  and  their 
increases  follow: 

WJAR,  The  Outlet  Company,  Providence,  R.  I.,  increase 
night  power  from  1  to  5  kilowatts,  move  transmitter  to  five  miles 
southeast  of  center  of  Providence,  install  new  directional  antenna 
with  different  adjustments  for  day  and  night  use;  890  kilocycles, 

5  kilowatts  day,  unlimited  time. 

KARK,  Arkansas  Radio  &  Equipment  Co.,  Little  Rock,  Ark., 
increase  night  power  from  1  to  5  kilowatt,  and  make  changes  in 
directional  antenna;  890  kilocycles,  5  kilowatts  day,  unlimited  time. 

WMMN,  Monongahela  Valley  Broadcasting  Co.,  Fairmont,  W. Va. 
increase  night  power  from  1  to  5  kilowatts,  make  changes  in  direc¬ 
tional  antenna;  890  kilocycles,  5  kilowatts  day , unlimited  time. 

WBAA,  Purdue  University,  W.  Lafayette,  Ind. ,  increase 
power  from  1  kilowatt  day,  500  watts  night,  to  1  kilowatt  night, 

5  kilowatts  until  local  sunset;  890  kc. ;  move  transmitter  to  5  miles 
south  of  Lafayette,  and  install  directional  antenna  for  night  use, 

TflBRY,  American  Republican,  Inc.,  Waterbury,  Conn.,  install 
new  transmitter,  change  directional  antenna  system,  increase  power 
from  1  to  5  kilowatts;  1530  kc.  ,  unlimited  time. 

KFUN,  Las  Vegas  Broadcasting  Co. ,  Inc. ,  Las  Vegas,  Nevada, 
increase  in  night  power  from  100  to  850  watts;  1480  kc. ,  850  watts 
day,  unlimited  time. 

KENO,  Nevada  Broadcasting  Co*,  Las  Vegas,  Nevada,  approval 
of  transmitter  location  and  antenna,  change  in  type  of  transmitter 
and  increase  in  night  power  from  100  to  850  watts;  1370  kc. ,  250 
watts  day,  unlimited  time. 

WTJS,  The  Sun  Publishing  Co.,  Inc.,  Jackson,  Tenn. ,  in¬ 
crease  from  250  watts  to  1  kilowatt,  change  frequency  from  1310  to 
1360  kilocycles,  install  new  transmitter  and  directional  antenna  for 
night  use. 

KLPM,  John  B.  Cooley,  Minot,  N.  Dak.  ,  increase  nighttime 
power  from  500  watts  to  1  kilowatt,  upon  compliance  with  Rule  3.45; 
1360  kc. ,  1  kilowatt  day,  unlimited  time. 

KFOR,  Cornbelt  Broadcasting  Corp. ,  Lincoln,  Neb. ,  move 
transmitter,  antenna  changes  and  increase  in  night  power  from  100 
to  250  watts;  1210  kc. ,  250  watts  day,  unlimited  time. 

KPRC,  Houston  Printing  Corp. ,  Houston,  Tex. ,  install 
directional  antenna  for  night  use  and  increase  from  1  kilowatt  night 
5  kilowatts  day  to  5  kilowatts  unlimited;  920  kc. 

WTAW,  Agricultural  and  Mechanical  College  of  Texas, 

College  Station,  Tex. ,  install  new  transmitter,  increase  from  500 
watts  day  to  1  kilowatt  day,  and  extend  completion  dates  60  days 
after  grant  and  180  days  thereafter;  1120  kc. ,  specified  hours. 

KFEL,  Eugene  ?.  O’ Fallon,  Inc.,  Denver,  Colo.,  increase 
from  1  kilowatt  to  5  kilowatts  day  and  night,  install  new  trans¬ 
mitter  and  directional  antenna  for  day  and  night  use;  920  kc. 

WPEN,  Wm.  Penn  Broadcasting  Co. ,  Philadelphia,  Pa. ,  in¬ 
stall  new  transmitter,  increase  from  1  kilowatt  to  5  kilowatts, 
using  directional  atenna  at  night;  920  kc . ,  unlimited. 

-  8  - 


7 


10/25/40 


K0M0,  Fisher's  Blend  Station,  Inc.,  Seattle,  Wash.,  in¬ 
stall  directional  antenna  for  night  use  and  increase  from  1  kilo¬ 
watt  night,  5  kilowatts  day,  to  5  kilowatts  unlimited;  920  kc. 

KRNT,  Iowa  Broadcasting  Co. ,  Des  Moines,  la. ,  move  trans¬ 
mitter  locally,  install  new  transmitting  equipment,  install  dir¬ 
ectional  antenna  for  night  use,  and  increase  power  from  1  kilowatt 
night,  5  kilowatts  day,  to  5  kilowatts  unlimited  time;  1320  kc. 

The  stations  seeking  more  power  and  scheduled  for  a 
hearing  are:  KOWH,  World  Publishing  Co.,  Omaha,  Nebr. ,  increase 
from  500  watts  to  5  kiloxvatts;  also  to  change  frequency  from  660 
kc.  ,  to  890  kc.  ;  increase  hours  of  operation  from  day  only  to  un¬ 
limited;  move  transmitter  site,  install  new  transmitter,  and  dir¬ 
ectional  antenna  for  night  use;  requests  facilities  of  KUSD  and  KFNF 

KUSD,  University  of  South  Dakota,  Vermillion,  S.  Dak. , 

C.P.  to  install  new  vertical  antenna,  change  frequency  from  890  kc. 
to  660  kc. ,  change  hours  of  operation  from  500  watts  night  and  day 
to  500  watts  daytime,  shares-KFNF;  to  be  heard  jointly  with  KOWH, 
and  application  for  renewal  of  license  KFNF,  Shenandoah,  Iowa. 

WNAX,  South  Dakota  Broadcasting  Corp. ,  transferor  Iowa 
Broadcasting  Co.,  transferee  Yankton,  S.  Dak.,  asks  to  transfer 
station  of  Station  WNAX  from  South  Dakota  Broadcasting  Corp. ,  to 
Iowa  Broadcasting  Co. ;  570  kilocycles,  1  kilowatt  night,  5  kilo¬ 
watts  day,  unlimited  time. 

XXXXXXXX 


CROSLEY  ON  ALL  SIX  INTERNATIONAL  FREQUENCIES 


Less  than  one  week  after  its  formal  dedication,  WLWO, 
Cincinnati,  little  brother  of  WLW  at  Cincinnati,  becomes  the  only 
international  short  wave  station  in  the  United  States,  according  to 
a  Crosley  press  statement,  authorized  to  operate  on  each  of  the  six 
international  wavelengths,  with  unshared  frequencies  and  with  un¬ 
limited  time.  The  distinction  came  to  WLWO  when  the  Federal  Com¬ 
munications  Commission  granted  WLWO’s  application  to  operate  on  the 
9,  11,  and  15  megacycle  bands,  with  exclusive  frequencies  and  no 
restrictions  on  time, 

R.  J.  Rockwell,  Technical  Director  of  the  Crosley  Corpora¬ 
tion,  Broadcasting  Division,  reported  that  WLWO  can  now  establish 
schedules  for  Latin  American  coverage  which  will  utilize  each  of 
these  frequencies  at  their  periods  of  maximum  effectiveness. 

Mr.  Rockwell  explained  that  different  frequencies  are 
more  effective  in  reaching  Latin  America  at  different  times  of  the 
day.  During  the  past  Summer,  for  instance,  studies  revealed  that 
the  21  megacycle  band  was  excellent  for  South  American  coverage 
from  11  A.M.  to  2  P.M.  ;  EST.  As  evening  drew  near,  lower  frequen  ¬ 
cies  were  employed. 

The  complete  list  of  WLWO  frequencies  in  kilocycles  is 
as  follows:  6,080;  9,590;  11,710;  15,250;  17,800;  21,650 


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Mail  response  from  South  America  indicates  that  WLWO  is 
now  delivering  the  most  powerful  international  signal  in  South 
America,  Mr.  Rockwell  said.  He  stated  that  in  addition  to  a  large 
volume  of  mail  from  regular  listeners  in  countries  throughout 
South  America,  reports  from  Embassy  and  other  sources  also  indicate 
that  WLWO  is  "coming  in"  with  greater  intensity  than  any  other  sta¬ 
tion,  North  American  or  European.  The  WLWO  signal  is  reported  to 
be  "much  stronger"  than  those  cf  German  and  other  signals  originat¬ 
ing  in  Europe. 

The  unusual  effectiveness  of  WLWO  is  attributed  to  the 
combination  of  frequencies  with  an  antenna  structure  that  enables 
engineers  to  "beam"  the  signal4ithin  a  comparatively  narrow  area, 
instead  of  dispersing  it  in  all  directions.  Though  the  radio  wave 
enters  the  antenna  system  with  a  strength  of  50,000  watts,  a  power 
attained  so  far  only  by  WLWO  on  international  frequencies,  the  ef¬ 
fect  of  the  beamed  signal  in  South  America  is  that  of  a  600, 000- 
watt  station. 

XXXXXXXXX 


CORNELL-CBS  HOOKUP  APPROVED 


The  Federal  Communications  Commission  recently  put  its 
O.K.  on  the  application  of  Station  WHCU,  owned  by  Cornell  Univer¬ 
sity  at  Ithaca  and  the  Columbia  Broadcasting  System. 

The  official  order  on  this  was  as  follows: 

"It  appearing  that  the  contract  of  April  1,  1938  between 
Cornell  University  and  the  Elmira  Star-Gazette,  Inc.,  upon  the 
basis  of  which  the  renewal  application  herein  was  designated  for 
hearing,  has  been  cancelled;  that  the  existing  contract  between 
Cornell  University  and  the  Columbia  Broadcasting  System  is  in  the 
usual  chain  affiliation  fora;  that  the  general  subject  of  chain 
affiliation  contracts  is  now  being  studied  by  the  Commission  and 
that  any  decision  or  opinion  with  respect  to  the  existing  contract 
between  Cornell  University  and  Columbia  Broadcasting  System  should 
be  reserved  until  consideration  and  action  by  the  Commission  upon 
the  entire  subject  of  chain  broadcasting  agreements; 

"It  is  ordered,  that  said  petition  for  reconsideration 
and  grant  without  hearing  be,  and  it  is  hereby,  granted;  that  the 
hearing  on  the  above-described  application  be,  and  it  is  hereby, 
cancelled;  and  that  the  application  of  Cornell  University  for 
renewal  of  license  for  Station  WHCU  be,  and  it  is  hereby,  granted. 

Station  WHCU  at  Cornell,  now  the  principal  Eastern  uni¬ 
versity  representative  of  CBS,  will  also  originate  for  the  network 
programs  of  information  and  entertainment  in  which  students  and 
faculty  will  participate.  In  addition  to  the  studio  already  on 
the  campus,  there  will  be  another  studio  in  downtown  Ithaca  com¬ 
pleted  at  a  cost  of  $25,000.  Students  in  the  Cornell  School  of 
Engineering  will  fill  many  of  the  positions  in  operating  the  sta¬ 
tion;  the  Cornell  Radio  Guidl  will  prepare  the  programs. 

WHCU  will  ooerate  daytime  only  on  850  kc. ,  1  KW  power. 

XXXXXXXXXX  -10- 


10/25/40 


:  :  TRADE  NOTES 


Station  WEAF  has  requested  an  extension  of  time  from 
the  Federal  Communications  Commission  of  the  completion  date  of 
its  new  station  in  New  York  City  from  November  6  to  December  6, 


Gerald  A. Vernon,  of  the  Research  Department  of  the 
National  Broadcasting  Company,  has  been  transferred  to  the  Sales 
Promotion  Department  in  the  Central  Division  with  headquarters  in 
Chicago. 


The  TropicalBroadcasting  Company  desires  to  construct  a 
250- watt  station  at  DeLand,  Florida,  on  1340  kilocycles  under  the 
North  American  Regional  Agreement. 


The  Seventeenth  Annual  Convention  of  the  Radio  Manu¬ 
facturers'  Association  and  Radio  Parts  National  Trade  Show  will 
be  held  in  Chicago,  June  10,  1941. 


Galveston,  Texas,  has  added  four  additional  portable 
mobile  police  high  frequency  police  transmitters. 


KFBK,  Sacramento,  KWG,  Stockton,  KERN,  Bakersfield,  and 
KOH,  Reno,  will  be  formed  into  a  group  to  be  known  as  the  Cali- 
f ornia-Nevada  Group  to  become  a  part  of  the  Pacific  Coast  Blue 
Network. 

xxxxxxxxxxx 

DEFENSE  COMMISSION  SURVEYS  RADIO 

The  National  Defense  Commission,  through  Stacy  May,  Dir¬ 
ector  of  its  Bureau  of  Research  and  Statistics,  has  requested  the 
assistance  of  the  Radio  Manufacturers'  Association  to  discuss  pos¬ 
sible  procedure  regarding  radio  requirements  of  the  National 
Defense  program.  James  S.  Knowlson,  of  Chicago,  President  of  the 
Association,  will  appoint  a  committee  of  five  to  cooperate  with 
the  said  Commission.  Radio  necessities  of  the  Army,  Navy,  British 
procurement  and  civilian  demands  will  be  canvassed  with  a  view  to 
providing  adequate  industry  capacity  to  meet  the  greatly  increased 
demands  and  prevent  "bottlenecks"  in  production  and  deliveries. 
Similar  procedure  with  other  industry  organizations  is  contemplat¬ 
ed  by  the  Council  of  National  Defense,  but  the  radio  industry  is 
one  of  the  first  approached  in  the  new  field  of  industrial  cooper¬ 
ation. 

XXXXXXXXX 

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NBC  RETURNS  TO  AIR  WITH  TELEVISION  TESTS 


The  National  Broadcasting  Company  announced  that  it  would 
shortly  resume  television  tests  over  Station  W2XBS.  Operation  of 
the  station  was  suspended  August  1  to  make  changes  required  by  the 
new  assignment  of  television  frequencies  by  the  Federal  Communica¬ 
tions  Commission. 

"These  test  programs,  the  first  of  which  will  be  a  film 
transmission  on  Sunday  evening,  October  27,  will  necessarily  be 
irregular",  said  Alfred  H.  Morton,  NBC  Vice-President  in  Charge  of 
Television.  "As  we  try  out  each  of  the  different  pieces  of  equip¬ 
ment,  time  will  be  required  to  coordinate  them  with  other  parts  of 
the  complete  system. 

"We  plan  to  put  power  through  the  sight  and  sound  trans¬ 
mitters  on  Friday  and  Saturday  evenings,  October  25  and  26,  trans¬ 
mitting  test  pattern  on  both  occasions.  This  will  enable  us  to 
make  the  first  of  the  necessary  adjustments  to  the  new  equipment 
and  circuits  and  will  give  the  televiewer  a  chance  to  tune  up  his 
receiver.  " 

The  new  test  images  will  be  in  441  scanning  lines  with 
transmission  at  the  rate  of  30  complete  images  a  second,  pending 
the  final  conclusions  of  the  National  Television  Systems  Committee. 

The  NBC  television  station  will  broadcast  over  the  new 
No.  1  television  channel,  50-56  megacycles,  which  can  be  found  on 
most  receivers  in  the  New  York  area  under  No.  2  or  No.  4  on  the 
station  selector  of  the  receiving  set. 

XXXXXXXXXX 


WJJD  AND  WIND  ON  COMPETITIVE  BASIS 


Ralph  Atlas s  this  week  moves  the  studios  and  sales 
office  of  WJJD  and  WIND  to  new  headquarters  on  Michigan  Avenue, 
according  to  a  news  dispatch  from  Chicago. 

Complete  separation  of  offices  for  the  WJJD,  Chicago, 
and  the  WIND,  Gary- Chicago,  outfits  has  been  arranged  by  Mr. 

Atlass  so  that  the  two  stations  will  work  on  a  strictly  competi¬ 
tive  basis. 

XXXXXXXXXX 

A  poll  of  the  Association  of  National  Advertisers  in 
convention  at  White  Sulphur  Springs  revealed  that  56  percent  of 
the  members  who  had  set  tentative  budgets  for  1941  expect  to  boost 
their  expenditures;  38  percent  will  spend  approximately  the  same 
ancunt  as  this  year,  and  only  6  percent  indicate  a  lowering  of 
budgets. 


XXXXXXXXXXXX 

-  12  - 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


I 


INDEX  TO  ISSUE  OF  OCTOBER  29,  1940 


If  Willkie  Elected  Believe  Fly  Will  Be  Swatted, 


2 


Communications  Defense  Board  Gets  Down  To  Biz 


4 


FCC  All  Ready  To  Clear  FM . 

No  Evidence  Of  Sabotage  In  Crosley  Fire.. 

Rockefeller  Would  Use  More  Radio  With  S.A 

Robert  E.  Lee,  Jr.  Enlisted  As  Private... 

1941  Offers  1200  Models . . 

FCC  Amends  Amateur  Rules  Governing  Radio. 

Trade  Notes . . . 9 

American  Cable  And  Radio  Seeks  Income  Debentures . 10 

Interference  Problems  Discussed  By  FCC  Chief  Engineer . 10 

Senator  Wheeler's  Re-Election  Seems  Assured . 11 

WOR  Planning  New  Election  Returns  Method . 12 


No.  1278 


LO  LO  co  co  co 


October  29,  1940 


IF  WILLKIE  ELECTED  BELIEVE  FLY  WILL  BE  SWATTED 


Because  of  previous  clashes  when  James  Lawrence  Fly,  Chair-' 
man  of  the  Federal  Communications  Commission  was  a  Department  of 
Justice  trust-buster  and  later  G-eneral  Counsel  for  the  Tennessee 
Valley  Authority,  and  Wendell  L.  Willkie  was  President  of  the  Common¬ 
wealth  and  Southern,  it  was  predicted  that  Mr.  Fly  would  be  among 
those  under  fire  if  Mr.  Willkie  is  elected  President. 

"Do  you  really  think  Mr.  Willkie  would  land  on  Fly?”  this 
writer  asked  a  well-informed  friend. 

“Land  on  him”,  my  friend  retorted,  “you  don't  know  the 
half  of  it,  dearie!  Why  Willkie  would  stop  off  on  his  way  back  from 
the  Inauguration  just  to  give  himself  the  pleasure  of  firing  Fly 
personally. " 

"Come,  come",  this  writer  replied,  "of  course  Mr.  Fly 
might  be  demoted  as  Chairman,  but  he  still  could  serve  his  term  out  - 
he  has  two  years  to  go.  " 

"The  heck  he  could",  my  informant  argued. 

"You  remember  how  President  Roosevelt  stubbed  his  toe  try¬ 
ing  to  fire  former  Congressman  William  E.  Humphrey  from  the  Federal 
Trade  Commission  and  how  the  Supremo  Court  aroused  the  President’s 
ire  by  backing  up  Humphrey.  In  the  light  of  subsequent  events,  that 
was  more  important  than  it  seemed  then  as  it  was  one  of  F. D.  R.  ’ s 
first  encounters  with  the  Supreme  Court. " 

"Willkie  would  do  it  another  way",  my  friend  persisted. 

"How?" 

"He’d  abolish  the  Commission.  That  would  be  easier  than 
bothering  with  personalities.  It  would  be  easy  for  him  to  secure  the 
necessary  legislation.  I  believe  he  would  abolish  many  Commissions 
and  unless  I  miss  my  guess,  the  Communications  Commission  headed  by 
his  old  enemy  Fly  would  be  among  the  first  to  get  the  axe. " 

It  is  well  known  that  Mr.  Willkie  has  no  love  for  Commis¬ 
sions. 

"I  am  considering  the  method  of  administration  by  Commis¬ 
sions",  Mr.  Willkie  wrote  in  the  Saturday  Evening  Post  in  1939. 

Since  the  laws  are  concerned  with  very  complex  activities,  the  admin¬ 
istrative  commissions  were  probably  necessary.  Laws  governing  wages 
and  hours  or  social  security  or  public  utilities  or  any  other  vast 
national  activity  cannot  possibly  prescribe  for  every  situation  that 
might  arise;  and  so  these  commission  are  empowered  to  make  the  rules 

-  2  - 


10/29/40 


that  should  apply.  Obviously,  this  is  dangerous.  It  involves  a 
subtle  transfer  of  Government  power.  The  rules  of  these  executive 
commissions  are  superseding  the  laws  of  Congress. 

"From  the  standpoint  of  a  businessman,  there  is  a  very 
important  difference  between  a  congressional  law  and  a  commission 
rule.  The  congressional  law  is  fixed.  It  is  down  in  black  and  white. 
It  is  the  same  for  everybody,  and  anybody  can  find  out  what  it  is.  A 
commission  rule  may  be  changed  in  twenty-four  hours.  It  need  not  be 
on  paper  at  all.  It  can  be  varied  to  fit  different  cases.  Under 
the  present  commission  regulation  of  industry,  therefore,  we  have  a 
highly  personal  form  of  government  -  a  government  by  caprice  in  which 
the  good  will  of  a  commission  chairman  may  have  a  considerable  effect 
upon  you  and  your  business. 

"The  present  network  of  Government  bureaus  regulating  the 
activities  of  employer  and  employees  thus  imposes  a  grave  responsi¬ 
bility  upon  the  regulators.  The  members  of  the  commission  who  hold 
in  their  hands  such  extraordinary  power  must  exercise  it  so  justly 
that  business  and  the  public  will  have  confidence  in  their  administra¬ 
tion.  Personal  prejudice  must  not  enter  into  their  decisions,  and 
political  influence  must  not  warp  their  integrity.  " 

According  to  Lawrence  Sullivan,  in  his  new  book  "The  Dead 
Hand  of  Bureaucracy",  which  is  causing  such  a  stir  just  now  in 
Washington,  exactly  124  new  Federal  agencies  have  been  established 
since  President  Roosevelt  came  into  office.  Among  these  was  the 
Federal  Communications  Commission,  a  successor  to  be  sure,  of  the 
Federal  Radio  Commission,  but  a  bigger  and  better  one.  The  old 
Radio  Commission  only  had  five  members  but  the  FCC  has  seven  at 
$10,000  a  year.  The  Radio  Commission  only  had  a  handful  of  employees 
but  the  FCC,  a  regular  patronage  Christmas  tree,  is  now  getting  up 
towards  a  thousand  people.  And,  take  it  from  this  writer,  very  few 
get  on  unless  they  are  right  politically. 

The  FCC  appropriation  in  1940  had  climbed  to  $1,800,000 
but  in  1941  it  will  be  $2,176,340  for  the  regular  appropriation, 
$1,600,000  added  for  National  Defense,  and  $175,000  for  the  re-estab- 
lishment  of  monitoring  (checking  foreign  propaganda)  stations  -  a 
grand  total  of  almost  $4,000,000. 

This,  of  course,  is  chicken- feed  compared  to  other  New  Deal 
expenditures  but  nevertheless  it  might  be  of  some  interest  to  Mr. 
Willkie  sweeping  clean  with  a  new  broom.  If  he  were  elected 
President,  and  the  Commission  continued,  the  first  man  up  for  re¬ 
appointment  would  be  Frederick  I.  Thompson,  Democrat,  newspaper  pub¬ 
lisher,  of  Mobile,  Ala.,  whose  term  expires  in  1941.  Then  comes  Mr. 
Fly  in  1942.  Following  this,  George  Henry  Payne,  Republican,  in 

1943,  campaign  manager  in  New  York  for  Hiram  Johnson  when  the  latter 
ran  for  Vice-President.  Mr.  Payne,  an  old  Bull  Mooser,  was  also  one 
of  the  campaign  managers  in  New  York  for  President  Theodore  Roosevelt. 
This  would  go  good  with  Willkie  probably,  who  was  a  great  admirer  of 
’Teddy".  Then  comes  Commander  T.A.M.  Craven,  whose  term  expires  in 

1944,  a  Democrat,  the  best  qualified  man  technically  and  in  many  ways 
otherwise  on  the  entire  Commission.  Norman  S.  Case,  formerly 


3 


10/29/40 


three-term  Governor  of  Rhode  Island,  Republican,  might  be  consider¬ 
ed  for  Chairman,  if  health  permits.  And  finally,  Paul  A.  Walker, 
Democrat,  Oklahoma  trust  buster  whom  Mr.  Willkie  would  probably  not 
love  because  of  Walker's  investigation  of  the  A. T.  &  T. 


There  is  no  question  but  what  Walker  would  draw  the  new 
President's  fire,  but  it  seems  to  be  the  general  consensus  of 
opinion  that  Mr.  Fly,  described  by  a  Washington  columnist  as  the 
"cockiest  official  who  ever  scuttled  a  royal  economist's  ship",  and 
described  by  many  prominent  broadcasters  and  radio  manufacturers  in 
terms  considerably  worse,  would  be  among  the  first  to  get  preferred 
presidential  attention. 


X  X 


X  X  X  X  X  X 


COMMUNICATIONS  DEFENSE  BOARD  GETS  DOWN  TO  BIZ 


Members  of  the  Defense  Communications  Board,  the  chief 
function  of  which  is  to  coordinate  the  relationship  of  all  branches 
of  communication  to  the  national  defense,  have  pulled  off  their 
coats  and  are  getting  down  to  work.  They  will  have  another  meeting 
next  Monday.  FCC  Chairman  James  L.  Fly  is  also  Chairman  of  the 
Defense  Board  and  the  other  members  are  Maj.  Gen.  J.  0.  Mauborgne, 
Chief  of  the  Signal  Corps;  Rear  Admiral  Leigh  Noyes,  Director  of 
Naval  Communications;  Breckenridge  Long,  Assistant  Secretary  of 
State,  and  Herbert  E.  Gaston,  Assistant  Secretary  of  the  Treasury 
in  charge  of  Coast  Guard. 


The  Board  is  now  considering  committees  and  what  duties 
they  may  undertake.  Jurisdiction  of  the  Board,  in  addition  to 
broadcasting,  takes  in  commercial  radio- telephone ,  radio-telegraph 
as  well  as  other  telephone,  telegraph  and  cable  facilities.  No 
consideration  is  being  given  to  radio  programs  as  the  Board  has  no 
power  of  censorship  or  to  take  over  any  radio  facilities.  As  yet 
the  new  Board  has  hadno  chance  to  study  international  programs. 

Chairman  Fly  had  a  two  hour  conference  with  the  British 
Propaganda  chief  just  before  the  meeting  of  the  Defense  Board  last 
Monday.  Nothing  was  given  out  as  to  the  actual  discussion  which 
took  place. 


It  was  said  that  the  recording  of  international  station 
broadcasts  was  considered  adequate  for  the  present.  Script  may  be 
called  for  the  future  but  as  this  would  impose  a  substantial  burden 
on  broadcasters,  recording  would  be  considered  sufficient  at  this 
time. 


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10/29/40 


FCC  ALL  READY  TO  CLEAR  FM 


The  final  steps  to  pass  on  all  pending  Frequency  Modulation 
applications  and  to  really  get  the  thing  going  are  exoected  to  be 
taken  by  the  Federal  Communications  Commission  when  they  meet  next 
Friday  (November  1). 

There  are  about  50  of  these  so-called  FM  applications  now 
pending,  mostly  for  high-powered  stations  in  the  50  KW  class  planned 
to  cover  large  areas  of  copulation.  Typical  among  the  applicants 
are  WJR,  Detroit;  A.  S.  Abell,  Baltimore;  Don  Lee  System,  Los 
Angeles;  Walker  &  Downing  Radio  Corporation,  Pittsburgh;  National 
Broadcasting  Company,  Chicago,  and  General  Electric  Company,  Schen¬ 
ectady. 

Many  more  groups  are  known  to  be  planning  FM  activity  and 
it  is  said  that  radio  set  manufacturers  have  set  a  sales  goal  of 
at  least  100,000  frequency  modulation  receivers  for  1941  for  use  in 
those  areas  covered  by  FM  broadcasting. 

XXXXXXXXXX 


NO  EVIDENCE  OF  SABOTAGE  IN  CROSLEY  FIRE 


Although  investigation  by  insurance  officials  continued,  no 
further  developments  were  reported  after  fire  temporarily  disrupted 
operations  of  WLWO  in  Cincinnati,  powerful  internat ional  short  wave 
sister  station  of  WLW,  early  this  week. 

After  the  fire,  three  extra  Warren  County  deputies  were 
stationed  at  the  WLWO  transmitter,  which  is  located  at  Mason,  Ohio, 

20  miles  north  of  Cincinnati.  Ordinarily  one  deputy  guards  the  site, 
on  ?/hich  the  WLW  antenna  and  transmitter  also  are  situated. 

The  fire  occurred  in  a  tuning  house  on  the  WLWO  transmitter 
grounds.  Besides  throwing  the  station  off  the  air  for  more  than  30 
hours,  the  blaze  destroyed  equipment  which  was  used  in  changing  WLWO 
from  one  frequency  to  another  in  order  to  be  of  maximum  effectiveness 
in  reaching  South  American  countries.  Until  new  tuning  equipment  is 
built,  WLWO  will  operate  only  on  9,950  kilocycles,  one  of  the  six 
international  frequencies  to  which  it  has  been  assigned  by  the 
Federal  Communications  Commission.  Repairs  will  require  about  a 
month. 

Damage  was  estimated  at  M several  thousand  dollars”  by 
James  D.  Shouse,  Vice-President  of  the  Crosley  Corporation  in  Charge 
of  Broadcasting.  A  more  definite  estimate  was  impossible,  Mr. 

Shouse  said,  because  most  of  the  equipment  was  specially  built  by 
Crosley  engineers  in  their  own  laboratory,  instead  of  being  purchas¬ 
ed  as  a  unit. 


XXXXXXXXXX 


10/29/40 


ROCKEFELLER  WOULD  USE  MORE  RADIO  WITH  S.A. 


Radio  will  be  one  of  the  great  mediums  of  removing  the  bar¬ 
riers  to  a  better  understanding  in  the  Americas,  Nelson  A.  Rockefeller 
President  of  Radio  City,  and  Coordinator  of  Commercial  and  Cultural 
Relations  between  the  American  Republics,  told  the  New  York  Herald 
Tribune  Forum. 

"We  must  increasingly  use  the  radio,  the  press  and  the 
cinema  to  promote  a  more  effective  interchange  of  the  finest  in  the 
thought  and  action  of  both  continents",  Mr.  Rockefeller  declared. 
"Appropriately,  private  enterprise  is  taking  the  leadership  in  this 
great  work.  To  assist  in  the  task  the  Office  of  the  Coordinator  of 
Commercial  and  Cultural  Relations  between  the  American  Republics  was 
established  by  the  Council  of  National  Defense.  As  the  name  implies, 
the  function  of  the  Office  is  to  coordinate  the  activities  of  the 
many  government  and  private  agencies  in  both  the  commercial  and 
cultural  fields.  Furthermore,  funds  now  available  permit  an  intensi¬ 
fication  of  programs  through  existing  media  as  well  as  the  expansion 
which  is  indicated  by  studies  now  in  progress. 

"These  are  times  which  call  for  clear  thinking,  effective 
action.  We  must  all  unit  in  working  for  the  Inter- American  object¬ 
ive,  national  defense  through  hemisphere  solidarity.  Over  and  beyond 
the  many  commercial  problems  with  which  we  are  concerned,  the  plans 
of  our  Office  call  for  the  careful  correlation  of  a  well-knit  expand¬ 
ed  program  in  the  several  different  cultural  fields.  Eminent  leaders 
in  the  arts  and  sciencies  of  our  country  will  go  to  South  American 
schools  and  universities  and,  in  turn,  we  hope  soon  to  be  welcoming 
in  greater  numbers  the  leading  scholars  from  the  institutions  of 
learning  in  Central  and  South  America.  The  two-way  exchange  of  out¬ 
standing  educators  will  be  supplemented  by  research  fellowships  which 
will  permit  more  widespread  investigations  designed  to  assist  both 
continents  in  problems  of  agriculture,  sanitation,  health  and  in¬ 
dustrial  engineering.  Similarly  we  hope  to  stimulate  an  increase  in 
the  exchange  of  the  best  technical  and  literary  publications  between 
the  various  countries. 

"Moving  into  other  fields,  our  office  will  cooperate  with 
all  of  the  broadcasting  systems.  Two  of  these  systems  will  soon  in¬ 
augurate  50,000  watt  directional  antenna  stations  for  programs  dedi 
cated  to  Inter- American  understanding.  The  motion  picture  industry 
has  been  most  resoonsive  to  our  invitation  to  cooperate.  The  press 
associations  with  an  intensified  hemisphere  service  will  promote  a 
much  needed  two-way  news  coverage  which  will  be  supplemented  by 
special  services  in  the  fields  of  news  pictures  and  magazines. " 

XXXXXXXXX 

A  New  York  State  resident  wants  authority  to  record  certain 
radio  programs  as  they  are  broadcast  to  the  public.  The  Federal  Com 
munications  Commission  replies  that  this  does  not  come  within  its 
jurisdiction,  being  a  matter  involving  the  private  rights  of  the 
radio  station,  the  artists,  and  the  sponsor  of  the  program. 

XXXXXXXXX 
-  6  - 


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ROBERT  E.  LEE,  JR.  ENLISTED  AS  PRIVATE 


Apropos  the  criticism  of  Elliott  Roosevelt,  Texas  broad¬ 
caster,  son  of  President  Roosevelt  accepting  a  captaincy,  a  reader 
of  this  service  suggests  that  attention  be  given  to  the  fact  that 
Robert  E.  Lee,  Jr.,  youngest  son  of  General  Robert  E.  Lee  enlisted 
in  the  Confederate  Army  as  a  private.  Only  after  a  year  of  the 
hardest  kind  of  fighting  did  he  win  his  promotion  as  a  lieutenant. 
There  are  several  references  to  young  Lee  in  the  splendid  biography 
of  Lee  written  by  Douglas  Southall  Freeman  (Charles  Scribner’s  Sons, 
New  York) . 

Robert  was  intent  on  entering  the  Army,  and  General  Lee 
did  not  wish  Robert  to  claim  the  exemption  allowed  students.  Of 
this  Dr.  Freeman  wrote: 

"fI  must  leave  the  rest  in  the  hands  of  our  merciful  God”, 
Lee  told  his  wife.  ‘I  hope  our  son  will  do  his  duty  and  make  a  good 
soldier.  ’  The  next  day  he  went  with  Robert  to  get  his  outfit,  with 
which  the  boy  left  in  a  few  days  to  join  the  Rockbridge  Artillery  as 
a  private.  n 

The  next  reference  to  young  Lee  by  the  noted  Southern 
historian  was:  "While  awaiting  developments  (at  the  Chickahominy ) 

Lee  rode  over  part  of  the  ground  of  the  previous  day's  action,  work¬ 
ing  his  way  toward  the  left,  looking  all  the  while  for  the  Rockbridge 
Artillery,  with  which  his  youngest  son  was  serving  as  a  private.  He 
had  heard  that  the  battery  had  followed  Jackson;  he  did  not  know 
whether  Robert  was  dead  or  alive.  Finally,  in  front  of  the  McGhee 
house,  he  found  the  battery,  which  had  not  been  engaged  in  the  action 
of  the  27th.  A  crowd  gathered  after  Lee  halted,  but  Robert  was  not 
in  it.  Search  discovered  him  so  soundly  asleep  under  a  caisson  that 
calls  did  not  arouse  him.  Only  a  vigorous  prodding  with  a  sponge 
staff  in  the  hands  of  a  zealous  comrade  brought  him  out,  at  last, 
half-dazed.  He  was  well  and  unscathed,  though  much  the  worse  for 
dust  and  hard  marching.  Greetings  exchanged,  Lee  rode  away,  and  no¬ 
body  seemed  to  think  it  in  any  way  odd  that  the  son  of  the  commanding 
general  should  be  serving  in  the  ranks. " 

Another  dramatic  meeting  of  the  great  General  and  his  sou 
was  described  at  the  second  battle  of  Manassas  as  follows: 

"'General',  said  Captain  Mason  of  the  staff,  when  Lee  at 
last  dropped  his  glasses,  'here  is  some  one  who  wants  to  speak  to 
you. ' 

"Lee  looked  and  saw  a  powder-blackened  gunner,  his  sponge 
staff  in  his  hand.  Ever  since  he  had  been  asked  for  a  chew  of1  tobac¬ 
co  by  the  raw  private  in  western  Virginia,  he  had  been  accustomed  to 
receive  all  manner  of  complaints  and  requests  at  unexoected  places 
from  unknown  members  of  the  voluntary  association  known  as  the  Army 
of  Northern  Virginia;  so  there  was  no  surprise  in  his  voice  when  he 
said,  'Well,  my  man,  what  can  I  do  for  you?' 

"'Why,  General',  said  the  cannoneer  in  aggrieved  and 
familiar  tones,  'don't  you  know  me?' 

"It  was  Robert. " 

XXXXXXXX 
-  7  - 


; 


10/29/40 


1941  OFFERS  1200  MODELS 


With  1200  different  new  radio- receiver  models  being  offer¬ 
ed  by  the  radio  manufacturers  of  America,  in  their  1941  lines,  a 
tremendous  variety  of  choice  is  made  available  for  retail  buyers, 
just  as  the  most  important  listening  season  in  all  radio's  history 
opens  up,  0.  H.  Caldwell,  editor  of  Radio  Retailing  writes. 

"Looked  at  as  a  vast  'radio  show’,  these  1200  radio-set 
offerings  would  fill  the  largest  exposition  building  erected  at 
either  of  the  recent  World's  Fairs",  Mr.  Caldwell  continues.  "Allow¬ 
ing  four  feet  to  a  model,  some  4,800  ft.  of  aisle  displays  would  be 
taken  up,  nearly  a  mile  of  continuous,  un duplicated  displays.1 

"And  for  the  radio  buyer  who  undertook  to  inspect  this 
tremendous  array  of  radio  sets,  if  he  allowed  only  two  minutes  for 
the  study  and  scrutiny  of  each  model,  he  would  have  to  plan  on  2,400 
minutes  or  40  hours  of  unremitting  seeing.'  Taken  in  a  succession  of 
evenings  say  from  8  to  10:30  p.m. ,  he  would  need  two  full  weeks  of 
radio- show  going,  to  make  the  rounds! " 

xxxxxxxxxx 


FCC  AMENDS  AMATEUR  RULES  GOVERNING  RADIO 


The  Commission  on  October  22,  1940,  modified  for  a  tempor¬ 
ary  period  Section  12.93(a)  of  its  Rules  and  Regulations  so  as  to 
permit  an  amateur  station  which  is  moved  from  one  permanent  location 
to  another  permanent  location  prior  to  May  1.  1941,  to  be  operated 
at  the  latter  location  (in  accordance  with  the  provisions  governing 
portable  stations)  for  a  period  not  exceeding  four  months,  but  in 
no  event  beyond  the  expiration  date  of  the  license;  provided  a  pro¬ 
per  application  for  modification  of  license  is  duly  filed. 

The  Commission  also  amended,  effective  November  1,  1940, 
Section  12.115  of  the  Rules  Governing  Amateur  Radio  by  deleting  the 
frequency  band  1800  to  2000  kilocycles  for  use  of  Type  A3  emission 
wherever  it  appears  therein  and  by  substituting  therefor  the  fre¬ 
quency  band  1800  to  2050  kilocycles. 

The  Commission  has  likewise  amended,  effective  November  1, 
1940,  Section  12.155(b)  of  the  Rules  Governing  Amateur  Radio  by 
deleting  the  frequency  band  1975  to  2000  kilocycles  wherever  it 
appears  therein  and  by  substituting  therefor  the  frequency  band  2025 
to  2050  kilocycles. 


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10/29/40 


TRADE  NOTES 


The  license  of  Station  WGY  at  Schenectady  has  been  renewed, 
and  a  hearing  that  was  set  to  inquire  into  the  new  contractual  rela¬ 
tions  between  the  General  Electric  Company  and  the  National  Broad¬ 
casting  Company  has  been  cancelled  pending  action  by  the  Federal 
Communications  Commission  upon  the  entire  subject  of  chain  broadcast¬ 
ing. 


Both  the  Republican  and  Democratic  rallies  at  Madison 
Square  Garden,  climaxes  of  party  efforts  to  win  the  1940  presidential 
election,  will  be  telecast  experimentally  in  New  York  by  the  National 
Broadcasting  Company.  President  Roosevelt  will  address  the  Democrat¬ 
ic  rally  on  the  evening  of  October  28.  The  Republican  meeting,  on 
November  2,  will  hear  Wendell  Willkie. 


Tests  are  being  made  to  establish  a  two-way  municipal  pol¬ 
ice  radio  in  Philadelphia. 


The  Roanoke  (Va. )  Broadcasting  Company  has  been  granted  a 
license  to  cover  construction  permit  which  authorized  a  new  station 
to  operate  on  1500  kc. ,  250  watts,  unlimited  time. 


W.  C.  Bridges,  Manager  of  the  Head  of  the  Lakes  Broadcast¬ 
ing  Co. ,  writes  to  the  General  Electric  Company,  operators  at  W9XYH, 
Duluth,  "Public  acceptance  of  frequency  modulation  (FM)  broadcasting 
in  this  locality  has  exceeded  expectations.  It  is  our  opinion  that 
the  listening  public  needs  only  a  demonstration  of  FM  to  completely 
sell  them  on  the  noise-free,  high-fidelity  advantages  of  this  new 
system.  " 


Fifty  thousand  watts  power  is  sought  by  Station  KIRO,  Queen 
City  Broadcasting  Co.,  Seattle,  Washington.  It  is  now  using  10  KW. 


As  shown  by  the  second  Editor  &  Publisher  Survey  just  com¬ 
pleted,  President  Roosevelt  is  favored  by  289  daily  newspapers,  or 
22.7$  as  against  20.1$  in  August.  Mr.  Willkie  has  683  newspapers, 
or  63.8$.  Thirteen  percent  of  the  papers  are  not  committed  to  either 
candidate. 


Station  WSGN,  of  Birmingham,  Ala. ,  has  asked  permission  of 
the  Federal  Communications  Commission  to  increase  its  power  from 
250  to  1,000  watts  and  to  broadcast  on  610  kc. 

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AMERICAN  CABLE  AND  RADIO  SEEKS  INCOME  DEBENTURES 


Frank  W.  Phelan,  President  of  American  Cable  &  Radio  Cor¬ 
poration,  announces  that  the  Corporation,  which  holds  all  of  the 
Common  Stock  of  All  America  Corporation,  is  prepared  to  invest  up 
to  an  aggregate  amount  of  $250, 000  in  Income  Debentures,  Series  B, 
of  All  America  Corporation,  and  has  issued  an  invitation  for  tenders 
of  the  Series  B  Income  Debentures  and  of  Scrip  Certificates  represent¬ 
ing  fractional  interests  therein.  American  Cable  &  Radio  Corporation 
heads  the  group  of  companies  controlling  the  communication  systems  of 
All  America  Cables  and  Radio,  Inc.,  the  Commercial  Cable  Company  and 
the  Mackay  Radio  and  Telegraph  Companies. 


Debentures  of  Series  B  are  presently  outstanding  in  the 
amount  of  $1,013,500.  In  addition  there  are  outstanding  $2,043,600 
of  Income  Debentures,  Series  A,  All  America  Corporation  having  retir¬ 
ed  since  the  original  issue  the  $1,250,000  of  the  SeriesA  Debentures 
required  to  be  retired  before  the  application  of  funds  by  that 
Corporation  to  the  redemption  of  Debentures  of  Series  B. 


xxxxxxxxx 


INTERFERENCE  PROBLEMS  DISCUSSED  BY  FCC  CHIEF  ENGINEER 


E.  K.  Jett,  Chief  Engineer  of  the  Federal  Communications 
Commission,  talks  on  "Radio  Interference  Problems"  when  he  is  guest 
speaker  on  "Adventures  in  Science"  over  Columbia  network  on  Thursday, 
October  31  (WABC-CBS,  3:45  to  3:55  P.M.,  EST). 

Mr.  Jett  will  be  heard  from  the  studios  of  WJSV,  Columbia's 
station  for  the  nation's  capital. 

The  FCC  official  plans  to  describe  the  various  kinds  of 
interference  possible  in  radio.  First,  there  is  interference  of  one 
station  with  another.  This  is  taken  c are  of  through  international 
and  government  regulation,  by  assigning  the  stations  to  separate 
frequencies. 

The  second  type  of  interference  is  caused  by  nature  — 
thunder  storms  or  electric  discharges,  static  or  atmospheric  dis¬ 
turbances. 

The  third  type  of  interference  is  industrial  —  electrical 
or  man-made.  It  is  caused  by  electric  devises  used  in  industry  or 
the  home. 

XXXXXXXX 


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10/29/40 


SENATOR  WHEELER'S  RE-ELECTION  SEEMS  ASSURED 


Reports  from  Montana  are  that  Senator  Burton  K.  Wheeler, 
Chairman  of  the  Interstate  Commerce  Committee,  and  a  power  in  radio 
matters  in  the  Senate,  will  be  re-elected  by  a  large  majority. 

Gould  Lincoln,  political  correspondent  of  the  Washington  Star  now 
touring  the  United  States,  writes  from  Helena: 

"The  most  powerful  Democratic  figure  in  Montana  -  so  far 
as  vote  getting  is  concerned  -  is  Senator  Wheeler.  An  original 
Roosevelt  man  when  the  President  was  striving  for  his  first  nomina¬ 
tion,  Senator  Wheeler  broke  with  the  administration  seriously  in  1937 
and  led  the  Senate  fight  against  the  Supreme  Court  bill.  After  that 
fight  the  New  Dealers  decided  to  go  after  Mr.  Wheeler's  scalp.  An 
effort  was  made  to  buildup  former  Representative  Jerry  O'Connell 
with  the  idea  that  O'Connell  was  the  man  to  take  Wheeler's  measure 
and  his  seat  in  the  Senate  in  1940.  Senator  Wheeler  did  not  wait 
for  1940  to  roll  around.  He  went  right  after  O'Connell  in  1938  and 
allied  Gov.  Roy  E.  Ayres  with  him.  The  upshot  was  the  election  of 
Representative  Thorkelson,  a  Republican,  in  Mr.  O'Connell's  place. 

New  Deal  plans  to  'purge'  Senator  Wheeler  went  up  in  smoke. 

"This  year,  Senator  Wheeler  declared  himself  against  a 
third  term  for  President  Roosevelt  or  any  man.  He  became  a  presi¬ 
dential  candidate  himself,  but  withdrew  his  name  before  the  balloting 
began  in  Chicago,  as  soon  as  it  became  definitely  known  the  President 
would  run.  He  announced  he  would  go  along  with  the  party  nominee. 
There  is  grave  doubt  out  here,  however,  that  Senator  Wheeler  will  do 
any  work  for  the  presidential  ticket. 

"Running  against  Senator  Wheeler  on  the  Republican  ticket 
is  E.  K.  Cheadle,  Jr.,  of  Shelby,  an  attorney.  Mr.  Cheadle  is  a 
Lieutenant  Colonel  in  the  National  Guard  and  is  now  on  active  duty 
in  Washington.  He  is  not  campaigning  in  the  State,  leaving  that 
job  to  the  Republican  leaders  here.  The  senatorial  contest  brings 
into  opposition  two  classes  of  thought  on  the  present  national 
defense  program  -  represented  by  Wheeler,  who  opposed  the  conscrip¬ 
tion  bill  and  who  has  attacked  much  of  the  foreign  policy  of  the 
President,  and  by  Mr.  Cheadle,  who  is  a  supporter  of  the  defense  pro¬ 
gram.  There  is  a  wide  difference  of  opinion  as  to  how  popular  or 
unpopular  the  conscription  bill  is  in  this  State. 

"No  one,  however,  gives  Mr.  Cheadle  the  slightest  chance 
to  win  over  Senator  Wheeler,  who  is  regarded  as  a  sure  winner  no 
matter  what  else  happens  in  the . election.  That  is  the  view  frankly 
given  by  Republican  leaders  speaking  'off  the  record',  as  well  as 
the  view  of  the  Democrats. " 

Writing  from  the  State  of  Washington,  Mr.  Lincoln  has  this 
to  say  about  former  Senator  Dill,  co-author  of  the  old  Radio  Act: 

"In  the  gubernatorial  race,  the  youthful  Mayor  of  Seattle, 
Arthur  B.  Langlie,  elected  a  few  years  ago  because  the  people  were 
sick  of  the  kind  of  government  they  were  getting,  together  with 


11  - 


10/29/40 


incessant  labor  strife,  has  been  nominated  by  the  Republicans.  The 
Democratic  nominee  is  former  Senator  Clarence  C.  Dill,  who  left  the 
Senate  in  1934.  Mr.  Dill  is  given  the  edge.  He  is  a  good  campaigner. 
However,  some  of  the  Democrats  who  supported  Governor  Martin,  regard¬ 
ed  as  a  conservative,  may  swing  to  Mayor  Langlie.  Mr.  Dill  won  over 
the  Governor  in  a  hot  primary  race.  Four  years  ago  many  Republicans 
voted  in  the  primary  for  Governor  Martin,  prefering  him  to  his 
Democratic  and  radical  opponent.  Many  republicans  voted  in  this 
year’s  primary  for  Governor  Martin,  hoping  to  defeat  Mr.  Dill  for 
the  nomination,  but  were  unable  to  pull  it  off.11 

Reports  from  Indiana  are  that  Senator  Minton  (D),  a  member 
of  the  Interstate  Commerce  Committee,  who  has  shown  considerable 
interest  in  radio,  may  be  defeated  by  the  heavy  Willkie  tide  which 
seems  to  be  prevailing  there  at  this  writing. 


WOR  PLANNING  NEW  ELECTION  RETURNS  METHOD 


Listeners  to  this  year’s  election  returns  over  WOR  will 
no  longer  have  to  wrestle  mentally  with  a  trickle  of  votes  from  in¬ 
complete  election  districts.  A  completely  different  method  of  handl¬ 
ing  returns  has  been  devised  which  it  is  believed  will  revolutionize 
the  giving  of  election  returns  over  the  air,  according  to  a  WOR 
Press  statement. 

Under  the  supervision  of  Dave  Driscoll,  WOR  Director  of 
Special  Features  and  News,  and  his  assistant,  Alvin  Josephy,  a  plan 
has  been  set  up  whereby  listeners  will  be  able  to  determine  instantly 
who  is  leading  the  presidential  race. 

In  place  of  the  former  "so  many  election  districts  out  of 
so  many  give  John  Blank  100,000  votes  and  John  Double  Blank  125,000”, 
the  new  streamlined  WOR  method  will  deal  with  percentages  and  ratios 
in  terms  of  States  only.  Thus,  the  announcer  will  say: 


"At  7  P.M.  with  2%  of  the  votes  in  New  York  State  already 
tabulated,  John  Doe  leads  Joe  Smith  by  100,000  votes  or  a  ratio  of 
2  to  1.  ”  It  will  be  as  simple  as  that  with  States  being  mentioned 
in  place  of  election  districts.  Comparisons  with  1932  and  1936  will 
also  be  included. 


The  election  returns  over  WOR  will  make  use  of  United 
Press  news.  They  have  already  been  sold  to  a  sponsor  who  will  use 
ten  five-minute  periods  which  will  be  supplemented  by  other  bulle¬ 
tins  of  importance. 


XXXXXXXXX 


12  - 


}  "’:v  t/i 


4'  Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  NOVEMBER  1,  1940 


FCO  Licenses  Fifteen  "Staticless"  Stations . 2 

Rockefeller  Adds  Two  More  To  Cultural  Staff . 3 

Wireless  Loud  Speaker  Experimentation . . 3 

FCC  Reports  Television  Progress . 4 

Mutual  Announcer  Hears  Own  Draft  Number  Called . 5 

Still  Trying  To  C-et  Wheeler  To  Work  For  FDR . 6 

Another  New  Washington  Station . 6 

Special  Meeting  Called  To  Spike  Diathermy  Interference . 7 

FTC  Issues  Stipulation  Order . 8 

Trade  Notes . 9 

New  Accounting  System  For  Telegraph  And  Cable  Carriers . 10 

FCC  Attorneys'  Applications  Approved . 11 

Again  The  Roosevelt  Radio  Earnings . 11 

"We  Third  Termers"  Quips  Mr.  Fly . 12 

Limitation  Statute  In  RCA  Suit  Dismissal . 12 


No.  1279 


FCC  LICENSES  FIFTEEN  "STATICLESS"  STATIONS 


The  Federal  Communications  Commission  on  Thursday  start¬ 
ed  a  new  industry  in  the  radio  broadcasting  field  with  the  grant¬ 
ing  of  15  licenses  to  operate  frequency  modulation  stations  on  a 
commercial  basis.  These  permits  were  the  first  to  be  granted  since 
the  FCC  provided  35  channels  between  43,000  and  50,000  kilocycles 
for  FM  service  and  adopted  rules  to  govern  the  operation  of  the 
staticless  stations. 

Frequency  modulation,  dubbed  FM  in  the  trade,  by  making 
use  of  bands  in  the  extreme  high  range  of  frequencies,  performs 
with  "bell-like  clarity",  its  sponsors  claim.  It  is  said  to  be 
entirely  free  from  static,  to  offer  a  much  wider  tone  range  than 
standard  broadcasting  and  to  permit  more  stations  on  the  same 
channels  without  interference.  The  last-mentioned  asset  opens  up 
a  new  field  for  broadcasting,  which  has  long  clogged  the  present 
standard  broadcast  band. 

Its  chief  drawback,  as  brought  out  at  FCC  hearings,  is 
that  its  short  radius  of  50  miles  restricts  its  use,  at  least  for 
the  present,  to  urban  areas,  listeners  in  rural  sections  out  of 
range  of  the  broadcasting  stations  being  forced  to  rely  on  stand¬ 
ard  broadcasts. 

FM  will  require  new  receiving  sets  and  special  broadcast¬ 
ing  equipment,  all  of  which,  the  FCC  feels,  will  contribute  to 
employment  and  to  trade. 

The  new  stations  are  widely  scattered  geographically  and 
are  designed  to  service  millions  of  listeners  with  the  new  type  of 
radio  transmission.  Three  are  in  New  York  City.  Thirty-six  more 
applications  are  pending  and  others  are  expected  to  pour  in  shortly. 

The  pioneer  FM  commercial  licensees  and  location  of  the 
authorized  stations  are: 

Detroit  -  The  Evening  News  Association;  Los  Angeles  - 
Don  Lee  Broadcasting  System;  Baton  Rouge  -  Baton  Rouge  Broadcast¬ 
ing  Co.;  Salt  Lake  City  -  Radio  Service  Corporation  of  Utah; 

Chicago  -  Zenith  Radio  Corporation;  Mt.  Washington,  N.  H.  -  The 
Yankee  Network;  Milwaukee  -  The  Journal  Co. ;  New  York  City  - 
National  Broadcasting  Co.  ,  William  G-.  H.  Finch,  Marcus  Loew 
Booking  Agency;  Evansville,  Ind.  -  Evansville  On  the  Air,  Inc.; 
Binghamton,  N.  Y.  -  Howitt-Wood  Radio  Co. ,  Inc. ;  Brooklyn,  N.Y.  - 
Frequency  Broadcasting  Corp. ;  Columbus,  Ohio  -  WBNS,  Inc.; 
Schenectady,  N.  Y.  -  Capitol  Broadcasting  Co. ,  Inc. 


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11/1/40 


On  the  basis  of  testimony  by  engineers  of  both  the  radio 
manufacturing  and  the  broadcast  industries,  the  Commission  heralds 
the  business  debut  of  FM  as  inviting  public  demand  for  service 
and  sets,  which  will  have  a  stimulating  effect  on  programming  as 
well  as  on  the  purchase  and  maintenance  of  new  equipment. 

At  the  same  time,  FCC  officials  pointed  out  that  there 
is  no  likelihood  that  FM  broadcasting  will  develop  so  rapidly 
that  present-day  standard  receivers  will  become  obsolete. 


XXXXXXXXX 


ROCKEFELLER  ADDS  TWO  MORE  TO  CULTURAL  STAFF 


Nelson  A.  Rockefeller,  President  of  Radio  City,  and 
Coordinator  of  Commercial  and  Cultural  Relations  between  the 
American  Republics,  has  announced  the  addition  of  Karl  August 
Bickel  and  Don  Francisco  to  his  Committee  on  Communications. 

John  H.  (Jock)  Whitney  and  James  W.  Young  had  been  pre¬ 
viously  named  to  the  Committee;  Mr.  Young  serves  as  Chairman. 

The  Committee  will  execute  the  radio,  news,  motion 
picture  and  related  phases  of  the  program  drafted  by  the  Office 
of  Coordination. 

Mr.  Bickel,  of  Sarasota,  Fla.  ,  served  as  President  of 
the  United  Press  from  1923-35  and  is  Chairman  of  the  Board  of 
the  Scripps-Howard  Radio  Company.  Mr.  Francisco,  of  New  York 
City,  has  resigned  and  taken  leave  of  absence  as  President  of 
Lord  and  Thomas,  advertising  agency,  to  assume  his  Government 
assignment. 


XXXXXXXXX 


WIRELESS  LOUD  SPEAKER  EXPERIMENTATION 


As  a  result  of  hearing,  the  Federal  Communications  Com¬ 
mission  has  ordered  a  grant  of  a  construction  permit  to  Guy  S. 
Cornish  of  Cincinnati,  Ohio,  for  a  new  high  frequency  experimental 
station  to  operate  on  310,000  kilocycles,  with  power  of  I  watt, 
and  type  A3  emission.  The  applicant  proposed  to  develop  facil¬ 
ities  for  the  transmission  of  aural  signals  between  the  announcer 
or  speaker  at  public  gatherings  and  the  loud  speaker  system  in 
instances  where  it  is  not  possible  or  practical  to  use  microphone 
cable . 

The  permit  is  granted  upon  an  experimental  basis  only, 
subject  to  change  or  cancelation  at  any  time,  and  upon  further 
condition  that  no  interference  shall  be  caused  to  other  radio 
service. 

XXXXXXXX 
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FCC  REPORTS  TELEVISION  PROGRESS 


Following  a  meeting  between  James  L.  Fly,  Chairman  of 
the  Federal  Communications  Commission,  and  W. R. G.  Baker,  of  the 
General  Electric  Company,  Chairman  of  the  National  Television 
Systems  Committee,  it  was  announced  that  considerable  progress 
was  being  made  in  the  effort  to  arrive  at  an  agreement  with  regard 
to  television  standards  by  January  1.  A  particular  effort  is 
being  made  to  accomplish  this  for  not  until  standards  have  beet 
set  can  the  "go  ahead”  signal  be  given  to  the  industry. 

In  this  connection,  the  FCC  has  announced  that  it  will 
confer  with  the  NTSC  early  in  January  for  the  purpose  of  receiving 
a  progress  report  on  that  Committee’s  study  of  the  television 
situation. 

The  Commission  will  hear  the  Chairman  of  the  Committee 
and  the  various  Panel  Chairmen,  but  will  not  call  for  recommenda¬ 
tions  as  to  whether  standards  should  be  fixed  at  that  time. 

The  conference,  which  will  not  be  in  the  nature  of  a 
hearing,  will  be  held  in  Washington  at  a  date  to  be  announced  later 
and  will  be  open  to  the  public. 

Although  Chairman  Fly  evidently  has  the  manufacturers 
pretty  badly  worried  by  his  enthusiasm  over  television  in  color, 
it  was  said  the  Commission  as  yet  has  had  no  engineering  report  on 
it.  There  seems  to  be  two  schools  of  thought  with  regard  to  intro¬ 
ducing  television  images  in  color  as  against  black  and  white.  One 
is  that  it  will  be  tremendously  more  difficult  and  expensive  and 
will  slow  up  the  effort.  On  the  other  hand,  a  high  Government 
official  expressed  the  opinion  to  this  writer  that  rather  than 
color  slowing  things  up  quite  the  contrary  -  the  introduction  of 
color  would  stimulate  it. 

That  the  Columbia  Broadcasting  System  had  already  spent 
a  million  and  a  half  dollors  in  color  television  experimentation 
was  revealed  this  week  in  a  spirited  reply  Paul  W.  Kesten,  Vice- 
President,  made  to  a  story  in  Variety.  Mr.  Kesetn  wrote,  in  part, 
as  follows: 

w Variety  says:  'It  is  doubtful  that  as  things  now  stand, 
RCA  could  justify  new  huge  experimental  program  expenditures  to 
its  stockholders.  '  CBS,  of  course,  has  frankly  no  intention  of 
doing  anything  more  than  'shadow-boxing.  ' 

"The  facts  are  that  CBS  has  expended  to  date  over 
Si,  500, 000  in  television,  has  built  and  equipped  the  largest  tele¬ 
vision  studio  in  America,  has  created  and  tested  hundreds  of 
television  programs,  but  has  consistently  refused  to  broadcast 
them  as  'bait'  to  sell  consumers  expensive  receiving  sets  until 
technical  standards  had  sufficiently  'jelled'  to  protect  the  con¬ 
sumer  against  radical  change  which  might  make  sets  useless. 


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11/1/40 


"CBS  has  done  all  this  up-hill.  It  has  found  the  best 
camera  equipment  in  England  or  America  not  good  enough  to  do  the 
job  it  wants  to  do,  not  good  enough  to  give  television  a  lusty 
start  as  a  new  art.  CBS  engineers  have  designed  and  ordered 
better  equipment,  have  already  waited  14  months  to  get  it,  have 
produced  color  television  without  it. 

11  Variety  reports  about  CBS:  ’Recently  when  its  one  man 
engineering  department,  Peter  Goldmark,  rushed  in  a  demonstration 
of  color  television  .  .  .  the  immediate  result  was  to  steal  the 
show  from  RCA-NBC. ’ 

"The  facts  are:  CBS  has  a  47-man  full-time  television 
organization,  a  25-man  television  engineering  personnel.  Dr. 
Goldmark  may  or  may  not  be  the  most  able  inventive  engineer  in 
television  ranks  -  he  could  not  alone  have  produced  color  tele¬ 
vision  after  hundreds  of  engineers  in  the  vast  laboratories  of 
equipment  manufacturers  had  abandoned  hope  that  it  could  be  done 
in  the  limited  six  megacycle  ’width’  of  present  television  channels. 
Full  credit  is  due  him  and  his  compact  but  talented  staff  for  hav¬ 
ing  lifted  television  out  of  its  drab  grays  into  full  and  glorious 
color,  perhaps  lifting  all  television,  in  this  process,  from  a 
defeatist  slough  to  a  sound,  sure-footed  optimism. 

"As  for  Variety’ s  statement  that:  ’Faced  with  the 
Government  philosophy  that  all  must  wait  for  the  slowest  among 
them  and  with  no  plausible  way  of  getting  back  any  portion  of  an 
already  staggering  investment  in  television,  RCA  is  understood  to 
be  loath  to  go  beyond  routine  programs  such  as  are  recommencing. . . ’ 
Whatever  may  or  may  not  be  Government  philosophy,  the  net  result 
of  deferring  ’commercial  television  broadcasting  has  been  to  per¬ 
mit  the  swiftest,  not  the  slowest,  to  lead. " 

xxxxxxxx 

MUTUAL  ANNOUNCER  HEARS  OWN  DRAFT  NUMBER  CALLED 

Stephen  McCormick,  26-year  old  Mutual  Broadcasting  System 
announcer,  was  describing  the  dramatic  scene  in  the  Departmental 
Auditorium  in  Washington,  and  interviewing  selective s  and  their 
relatives  over  a  coast-to-coast  hook-up,  when  a  fellow  announcer 
tugged  at  his  sleeve. 

"Isn’t  your  number  105?"  asked  Walter  Compton. 

"Yes,  why?"  McCormick  whispered  back.  Mr.  Compton  point¬ 
ed  at  the  blackboard  on  which  the  numbers  were  being  listed.  No. 

105  was  the  nineteenth  drawn.  So  one  announcer  interviewed  another 
on  how  it  feels  when  the  Government  gets  your  number. 

"I’m  proud  to  be  called",  said  Mr.  McCormick. 

A  native  of  Taunton,  Mass. ,  Mr.  McCormick  has  been  a 
Washington  resident  for  six  years.  He  is  chief  announcer  for  WOL. 


XXXXXXXX 
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11/1/40 


STILL  TRYING  TO  GET  WHEELER  TO  WORK  FOR  FDR 


The  following  observation  regarding  Senator  Wheeler, 
radio  leader  in  the  Senate,  is  made  by  Ray  Tucker  of  the  McClure 
Newspaper  Syndicate: 

"New  Deal  strategists  are  still  coaxing  Burton  K.  Wheeler 
to  declare  for  F.  D.R.  and  campaign  for  the  national  ticket  in  areas 
where  ‘Old  Bob’  LaFollette 1 s  1924  running  mate  carries  vast  influ¬ 
ence.  But  the  Montana  man  recently  inserted  in  the  Congressional 
Record  a  magazine  article  which  will  discount  any  last-minute 
switch.  It  appeared  in  Foreign  Affairs,  and  is  entitled:  ’National 
Defense  -  Plan  or  Patchwork. ’ 


,MOur  Congress’,  it  said,  ’is  not  willing  to  write  a 
blank  check  in  respect  to  grants  of  power,  and  I  do  not  think  we 
should  blame  Congress.  It  encounters  vagueness  in  high  places. 

It  knows  that  in  June  its  adjournment  was  proposed,  and  that  now 
there  is  much  work  for  it  to  do.  But  Congressional  delays  or  even 
refusals  will  not  be  decisive.  The  President  of  the  United  States 
has  emergency  powers  already  granted  that  give  him, as  Commander- in- 
Chief,  sufficient  freedom  of  action  -  to  make  or  mar  his  reputation 
and  perhaps  save  or  sacrifice  the  country. 


"’If  we  go  the  way  of  France,  no  one  will  be  able  to 
blame  it  on  Congress.  It  has  been  generous,  almost  profligate,  in 
granting  money  and,  within  the  limitations  it  has  imposed,  there 
is  ample  authority  for  the  spenders  to  be  intelligent.  Likewise 
there  can  be  no  legislative  barrier  to  their  intelligence. *  And 
that’s  just  how  the  Senator  talks  in  private.” 


XXXXXXXXXX 
ANOTHER  NEW  WASHINGTON  STATION 


Washington's  radio  stations  soon  will  have  a  new  member, 
it  was  disclosed  this  week  when  the  Federal  Communications  Commis¬ 
sion  approved  application  of  the  Capital  Broadcasting  Co. 


The  new  station,  assigned  a  wave  length  of  1420  kilo¬ 
cycles,  250  watts  power,  will  be  located  at  Pierce  and  North  Capi¬ 
tol  Sts. ,  North  East,  with  a  second  booster  tower  on  the  East-West 
Highway  between  Bethesda  and  Silver  Springs,  Md.  Stanley  Horner, 
District  auto  dealer;  former  F.  T.  C.  Auto  Consultant  Dyke  Cullum, 
and  Ed  Spence,  former  WBAL  (Baltimore)  Manager,  head  the  venture. 


Construction  will  commence  soon  and  the  station  will  be 
ready  about  January  1.  It  will  be  on  an  18-hour  schedule  and 
feature  only  local  talent  and  events. 


Meanwhile,  Station  WINX,  operating  on  a  frequency  of  1310 
kilocycles,  plans  to  start  schedules  within  the  next  few  days. 

Headed  by  Washington  Attorney  Lawrence  Heller,  WINX  is  at  Eighth  and 
I  Streets, Northwest,  with  a  synchronized  booster  station  on  Ameri¬ 
can  University  campus.  It,  too,  will  feature  only  local  affairs. 
Reggie  Martin  has  been  named  General  Manager. 

XXXXXXXX  -6- 


11/1/40 


SPECIAL  MEETING  CALLED  TO  SPIKE  DIATHERMY  INTERFERENCE 


Because  of  the  interference  of  electro-medical  apparatus 
with  National  Defense  communication,  as  well  as  the  trouble  it 
gives  to  broadcasting  in  general,  the  Federal  Communications  Com¬ 
mission  has  scheduled  an  informal  engineering  conference  in 
Washington  on  Friday,  November  29,  to  facilitate  establishing 
particular  frequencies  for  the  exclusive  use  of  such  apparatus. 

The  sessions  will  be  presided  over  by  Chief  Engineer  E.  K.  Jett, 
who  has  made  a  thorough  study  of  the  subject  and  who  is  largely 
responsible  for  its  consideration  at  this  time. 

It  is  through  the  cooperation  of  interested  individuals 
and  groups  that  the  Commission  hopes  to  adjust  the  technical  pro¬ 
blems  in  connection  with  operation  of  high  frequency  electro¬ 
medical  equipment.  Such  effort,  it  points  out,  is  in  keeping  with 
views  expressed  at  the  Inter- American  Radio  Communications  Arrange¬ 
ment  signed  at  Santiago,  Chile,  last  January. 

"The  serious  nature  of  diathermy  interference  was  first 
brought  to  my  attention  in  1935  when  commercial  and  government 
communication  agencies  began  to  experience  interference  on  the 
high  frequencies  used  for  long  distance  communication",  Commander 
Jett  said,  in  a  recent  broadcast.  "The  disturbances  were  at  first 
attributed  to  stations  operated  by  persons  under  the  jurisdiction 
of  foreign  governments.  The  severity  of  the  interference  increas¬ 
ed  rapidly  and  agencies  such  as  the  Army,  Navy  and  the  commercial 
operating  companies,  cooperated  with  the  Federal  Communications 
Commission  in  an  extensive  search  for  the  source  of  the  inter¬ 
ference.  The  signals  were  observed  to  shift  from  one  spot  on  the 
dial  to  another  without,  of  course,  any  call  signal  or  other  identi¬ 
fying  characteristics.  Observations  indicated  that  the  signals 
emanated  from  points  far  removed  from  the  receiving  stations. 

"An  investigation  finally  disclosed  that  the  interfer¬ 
ence  was  caused  by  diathermy  machines  operated  in  medical  centers 
and  offices  of  private  physicians.  Radiations  from  one  of  these 
machines  located  in  the  vicinity  of  Boston  were  controlled  by  an 
ordinary  telegrapher's  key  and  the  signals  thus  emitted  in  the 
international  Morse  code  were  easily  read  in  Washington,  D.  C. , 
and  at  Great  Lakes,  Ill. ,  near  Chicago.  Since  that  time  inter¬ 
ference  has  rapidly  increased  as  more  and  more  diathermy  machines 
have  been  brought  into  use  by  the  medical  profession. 

"Local  interference  of  radio  programs  is  not  our  great¬ 
est  cause  for  concern.  The  transmissions  from  diathermy  machines 
are  capable  of  being  received  across  the  continent  and  even  across 
the  ocean.  The  frequencies  upon  which  they  operate  are  used  by 
the  national  defense  and  safety  services.  Interruptions  of  these 
services  may  jeopardize  life  or  property,  or  seriously  affect  the 
nation's  interests. 

"I  wish  to  emphasize  that  the  Federal  Communications 
Commission  recognizes  the  importance  of  electro-medical  apparatus 


7 


li/1/40 


to  the  medical  profession  in  the  treatment  of  human  ills.  As  a 
matter  of  fact,  the  Inter-American  Radio  Communications  Arrange¬ 
ment  signed  at  Santiago,  Chile,  in  January  of  this  year,  specifi¬ 
cally  states  that  the  use  of  diathermy  apparatus  has  an  important 
place  in  therapeutics,  surgery  and  industry.  The  immediate  prob¬ 
lem,  therefore,  is  how  may  the  public  enjoy  the  benefits  of  radio 
communication  as  well  as  those  resulting  from  the  use  of  electro¬ 
medical  apparatus  without  conflict  between  these  services. 

•'The  Commission  has  been  studying  this  problem  for  sever¬ 
al  years  and  has  received  excellent  cooperation  from  the  Council 
on  Physical  Therapy  of  the  American  Medical  Association  and  other 
interested  parties.  A  number  of  states  and  municipalities  have 
enacted  statutes  and  ordinances  to  deal  with  the  subject.  How¬ 
ever,  the  general  problem  of  interference  has  been  approached  by 
the  Commission  from  the  point  of  view  that  the  public  as  a  whole 
will  be  best  served  through  cooperation  in  the  industry.  The 
Commission  believes  that  through  further  cooperation  it  will  be 
able  to  adopt  standards  of  good  engineering  practice  to  guide  manu¬ 
facturers  and  users  of  electrical  equipment  and  thus  prevent  radio 
interference.  " 

XXXXXXXXX 


FTC  ISSUES  STIPULATION  ORDER 


George's  Radio  Company,  Inc.,  814  F  Street,  N.  W.  , 
Washington,  D.  C. ,  a  corporation,  engaged  in  selling  merchandise, 
including  radio  receiving  sets  together  with  cabinets  in  which  the 
sets  are  housed,  has  stipulated  with  the  Federal  Trade  Commission 
to  cease  and  desist  from  stating  or  representing  that  its  products 
have  a  "factory1'  or  "list"  price  of  $99.95,  or  any  other  designated 
price,  when  in  fact  the  designated  price  is  fictitious  or  in  ex¬ 
cess  of  or  is  other  than  the  price  for  which  the  products  are 
customarily  sold  in  the  usual  course  of  retail  trade. 

Also  it  has  stipulated  to  cease  and  desist  from  use  of 
the  phrase  "More  Than  1/2  Off",  or  "Reduced  $60"  in  connection 
with  the  offered  retail  selling  price  of  $39.95,  or  in  any  other 
way  so  as  to  import  or  imply  that  the  regular  or  customary  retail 
selling  price  of  the  products  is  $99.95  or  that  the  price  of  $39.95 
is  a  special  price  or  is  less  than  one-half  of  the  customary  sales 
price  or  is  $60  less  than  the  customary  sales  price  or  is  other 
than  the  regular  or  customary  retail  sales  price  of  the  products. 
Likewise  refrain  from  use  of  the  word  "Grunow"  as  an  escutcheon  on 
cabinets  housing  radio  receiving  sets  so  as  to  import  or  imply  that 
the  radio  receiving  sets  were  made  or  manufactured  by  Grigsby- 
Grunow  Corporation,  formerly  of  Chicago;  and  from  use  of  the  word 
"Grunow"  in  any  way,  the  effect  of  which  tends  or  may  tend  to  mis¬ 
lead  or  deceive  the  purchasing  or  consuming  public  as  to  the 
origin,  size,  capacity,  make,  manufacture,  brand  or  type  of  the 
sets. 

XXXXXXXXXX 
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In  outward  appearance  looking  like  any  other  automobile 
and  having  no  identifying  marks,  a  specially  built  car  now  carries 
the  Federal  Communications  Commission’s  new  directional  locating 
apparatus  on  its  detection  tours.  The  apparatus  can,  by  moving 
from  place  to  place,  locate  any  "bootleg”  radio  station  to  within 
100  yards.  Simultaneously  cylinders  record  broadcasts. 


Crosley  Corporation  and  Subsidiaries  -  Nine  months  to 
Sept.  30:  Net  loss,  subject  to  audit,  $509,910,  compared  with 
net  profit  last  year  of  §158,376,  or  29  cents  a  share,  on  545,800 
capital  shares. 


The  Mutual  Broadcasting  System  will  have  a  total  of  159 
stations  in  its  network  when  three  250-watt  Virginia  stations 
become  affiliated  with  the  chain  on  Monday.  They  are  WLVA,  Lynch¬ 
burg,  120  kc.  ;  WBTM,  Danville,  Va. ,  1370  kc. ,  WSLS,  Roanoka,  Va. , 
1500  kc. 


As  a  feature  of  the  twentieth  anniversary  of  the  begin¬ 
ning  of  regular  daily  radio  programs,  Dr.  Frank  Conrad,  and  the  man 
credited  with  having  first  used  the  word  "broadcast"  in  connection 
with  radio,  will  be  the  guest  of  Musical  Americana,  Thursday, 
November  7,  at  10:30  P.M.,  EST,  over  the  NBC-Red  Network. 


i 


Frank  Mullen,  Vice-President  and  General  Manager  of  the 
National  Broadcasting  Company  and  founder  of  the  Farm  and  Home 
Hour,  was  the  principal  speaker  at  the  Fifteenth  Anniversary  of 
agricultural  broadcasting  on  Station  WGY,  Schenectady.  _ _ 


Employment  has  increased  at  such  a  fast  pace  in  the 
Cincinnati  area  that  it  has  been  found  necessary  for  radio  station 
WSAI  to  replace  its  "I  Want  A  Job"  program  with  a  weekly  news  sum¬ 
mary,  due  to  the  scarcity  of  competent  persons  now  without  Employ¬ 
ment.  ***:>■  ■ 


WOR  will  record  off  the  line  several  major  Mutual  night¬ 
time  shows  which  cannot  be  fitted  into  WOR’ s  evening  schedule  and 
will  re  broadcast  these  programs  during  daytime  house.  As  a  result, 
WOR  listeners  will  now  be  able  to  hear  "In  Chicago  Tonight"  a 
Thursday  night  Mutual  variety  show  from  Chicago,  every  Friday 
morning  at  10:30  A.M.  "Lew  Loyal",  a  Friday  evening  dramatic 
series,  will  have  its  matinee  performance  on  WOR  at  5:15  every 
Tuesday;  Similarly,  each  episode  of  "Ned  Jordan,  Secret  Agent" 
heard  on  Tuesday  nights,  will  be  recorded  Saturday  mornings  at 
8:30  A.M. 

XXXXXXXX  -9- 


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11/1/40 


NEW  ACCOUNTING  SYSTEM  FOR  TELEGRAPH  AND  CABLE  CARRIERS 


A  revised  uniform  system  of  accounts  for  wire- tele graph 
and  ocean-cable  carriers  was  adopted  this  week  by  the  Federal 
Communications  Commission,  to  go  into  effect  January  1,  1942. 

Giving  recognition  to  changes  of  operation  in  that  in¬ 
dustry  and  to  the  progress  of  accounting  generally,  the  new  system 
supplants  the  one  made  effective  by  the  Interstate  Commerce  Com¬ 
mission  in  1914,  which  has  been  found  impractical  of  application 
to  many  present-day  operations. 

The  variations  from  the  old  system  are  generally  recog¬ 
nized  as  warranted  by  the  carriers  and  by  the  National  Association 
of  Railroad  and  Utilities  Commissioners,  which  is  representative 
of  State  public  utility  bodies.  They  are  funda.men tally  the  same 
as  those  contained  in  the  system  of  accounts  prescribed  by  the 
Commission  for  telephone  and  radiotelegraph  carriers.  The  pre¬ 
scribed  system  is  the  result  of  studies  initiated  by  the  former 
Telegraph  Division  of  the  Commission  and  thereafter  developed  by 
the  Accounting,  Statistical  and  Tariff  Department.  It  conforms 
to  Government  accounting  principles. 

The  revised  rules  provide,  through  prescribed  segrega¬ 
tion,  for  instant  determination  of  the  extent  to  which  variations 
in  revenue,  expenses,  and  other  elements  of  net  income  are  attribut¬ 
able  to  changes  in  the  rates  of  foreign  currency  exchange.  This 
provision  is  considered  sufficiently  flexible  to  provide  appropri¬ 
ate  accounting  for  transactions  involving  foreign  currencies  under 
stabilized  conditions  as  well  as  under  present  conditions  of  ramp¬ 
ant  fluctuation  in  the  rates  of  exchange. 

The  new  rules  provide  further  for  the  segregation, 
among  the  charges  against  income,  of  amounts,  if  any,  paid  to  other 
carriers  or  persons,  on  basis  of  the  revenue  or  traffic  volume  of 
the  accounting  company,  when  the  payee  has  not  incurred  any  expense 
or  participated  in  the  service  upon  which  the  charge  has  been  bas¬ 
ed.  The  revision  also  seeks  to  provide  in  general  design  for  such 
future  changes  as  can  reasonably  be  anticipated. 

The  effective  date  was  set  in  order  to  give  the  carriers 
a  reasonable  time  in  which  to  make  accounting  reclassifications 
accordingly. 

XXXXXXXX 


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11/1/40 


FCC  ATTORNEYS1  APPLICATIONS  APPROVED 


Applications  for  the  following  attorneys  to  practice 
before  the  Federal  Communications  Commission,  approved  by  the  Bar 
Committee  on  October  25,  1940,  were  approved  by  the  Commission 
this  week: 

Thad  H.  Brown,  former  member  of  the  Federal  Communications 
Commission,  Washington,  D.  C. ;  Arthur  W.  A.  Cowan,  Philadelphia, 

Pa. ;  Sam  L.  Collins,  Fullerton,  Calif. ;  Gerald  J.  Meindl,  Portland, 
Ore.;  James  S.  McCluer,  Parkersburg,  W.  Va. ;  David  Elden  Tolman, 
Washington,  D.  C. ;  George  H.  Toole,  Boston,  Mass. ,  and  Philip  M. 
Traynor. 

XXXXXXXXXX 


AGAIN  THE  ROOSEVELT  RADIO  EARNINGS 


In  his  syndicated  column,  Westbrook  Pegler  writes: 

"It  is  often  said,  on  what  basis  I  do  not  know,  that 
Mrs.  Eleanor  Roosevelt  gives  all  of  her  earnings  to  charity.  I 
have  never  heard  or  read  any  announcement  to  this  effect  and  sus¬ 
pect  that  those  who  believe  this  to  be  true  have  carelessly  mis¬ 
construed  the  announcement  of  several  years  ago  that  she  was 
donating  to  charity  the  proceeds  of  her  radio  orations  only. 

"According  to  John  T.  Flynn’s  figures  in  his  book,  "A 

Country  Squire  in  the  White  House",  Mrs.  Roosevelt  would  have  had 
$750,000  over  and  above  her  radio  income.  And  even  if  it  is  true 
that  she  gives  most  or  all  of  this  to  charity,  the  question  still 
is  not  what  Mrs.  Roosevelt  does  with  the  money  but  to  what  extent 
the  presidential  office  figures  in  the  calculations  of  those  who 

pay  it.  Moreover,  Mrs.  Roosevelt  need  not  give  away  a  dime  of 

this  income.  By  her  precedent,  another  First  Lady  could  make  as 
much  or  more  by  her  work  and  showmanship  and  keep  it  all. 

"John  N.  Garner  stated  the  correct  position  when,  early 
in  the  first  term  of  the  New  Deal,  in  rejecting  an  offer  of  $1,500 
a  week  for  radio  work,  he  said  that  if  the  sponsor  was  trying  to 
hire  the  Vice  President  of  the  United  States,  the  price  was  too 
little,  and  if  he  was  trying  to  hire  John  Gamer,  it  was  much  too 
much. 

"It  is  conceded  that  Elliott  Roosevelt  participated  in 
negotiations  before  the  Communications  Commission  which  yielded  him 
a  profit  of  extraordinary  size  for  a  boy  of  his  years  at  the  time, 
and  it  has  since  been  said  by  his  own  representative  that  he  has 
been  earning  an  income  of  $1,000  a  week  as  a  broadcaster.  " 

XXXXXXXX 


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11/1/40 


S' 

"WE  THIRD  TERMERS"  QUIPS  MR.  FLY 


Some  comment  has  been  caused  by  James  L.  Fly,  Chairman 
of  the  Federal  Communications  Commission,  allegedly  beginning  a 
talk  to  radio  manufacturers  in  New  York  by  saying  "We  Third  Termers 
have  been  under  considerable  fire  lately". 


This  remark  was  construed  to  refer  (a)  to  the  criticism 
of  President  Roosevelt  in  the  present  campaign,  and  (b)  the  recent 
dressing  down  Mr.  Fly  himself  received  in  the  Saturday  Evening 
Post.  Also  it  would  seem  to  indicate  that  Mr.  Fly  felt  that  he 
was  pretty  well  entrenched  in  his  present  position. 

XXXXXXXXXX 


LIMITATION  STATUTE  IN  RCA  SUIT  DISMISSAL 


Supreme  Court  Justice  Bernard  L.  Shientag  dismissed  last 
Tuesday  in  New  York  the  major  causes  of  action  in  an  accounting 
suit  brought  by  Rose  Druckerman  and  eleven  other  stockholders  of 
the  Radio  Corporation  of  America.  They  had  charged  conspiracy  by 
present  and  former  directors  of  the  corporation  with  the  General 
Electric  Company  and  the  Westinghouse  Electric  and  Manufacturing 
Company  to  defraud  R.  C. A.  for  the  benefit  of  the  other  companies. 


Justice  Shientag  ruled  that  the  six-year  statute  of 
limitations  applied  to  the  causes  of  action  which  he  dismissed. 
These  included  the  major  portion  of  the  $500,000,000  losses  alleg¬ 
ed  in  the  suit  to  have  resulted  from  negligence  and  conspiracy  on 
the  part  of  the  directors  of  R. C.A. 

Justice  Shientag  specifically  ruled  out  charges  that  RCA 
paid  $82,000,000  more  than  the  book  value  of  assets  in  acquiring 
the  Victor  Talking  Machine  Company,  Inc. ,  in  1929,  and  lost 
$10,000,000  in  a  subsequent  deal  with  General  Electric  and  West¬ 
inghouse  concerning  the  manufacturing  properties  of  Victor. 

Another  charge  dismissed  was  that  RCA  paid  at  least  $170,000,000 
too  much  in  1930  for  exclusive  patent  rights  of  General  Electric 
and  Westinghouse,  the  exclusive  feature  of  which  subsequently  was 
cancelled. 


Justice  Shientag  ruled  out  also  charges  of  excessive 
payments  before  1930  to  General  Electric  and  Westinghouse,  alleged 
losses  through  underwriting  of  certain  Radio- Kei th-Orpheum  deben¬ 
tures,  payment  of  allegedly  improper  dividends  and  fees  for  "ficti¬ 
tious  services"  before  1932  and  wrongful  profits  in  1928  by  dir¬ 
ectors  from  trading  in  Victor  stock. 


XXXXXXXXX 


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2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


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INDEX  TO  ISSUE  OF  NOVEMBER  5,  1940 


U.  S.  Puts  More  Steam  On  Its  Short-Wave  Programs . 

Antenna  Measurement  Time  Extended . . . 

CBS  Orders  Powerful  Mackay  Foreign  Service  Transmitters 
Sixty  Percent  Non-Met.  Dailies  Omit  Programs . 

Burglars  Turn  Into  Radio  Song  Writers . 

C.  I.O.  Loses  Radio  Plea  To  FCC . 

FM  Off  To  Good  Geographical  Start . 7 

Campaign  Broadcasts  Estimated  $1,500,000  . 9 

She  Told  It  To  The  Marine! . 9 

Trade  Notes . 10 

RCA  Up  Sharply  To  $98,204,219 . 11 

Searching  Congressional  Library  For  Educational  Radio  Material.. 11 


No.  1280 


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November  5,  1940 


U.S.  PUTS  MORE  STEM  ON  ITS  SHORT-WAVE  PROGRAMS 


Beginning  with  this  weeks  issue,  several  changes  for  the 
better  have  been  made  in  the  printing  of  the  consolidated  programs 
of  the  United  States  short-wave  stations  by  John  H.  Payne,  Chief  of 
the  Electrical  Division,  Bureau  of  Foreign  and  Domestic  Commerce. 

Heretofore,  these  programs,  which  are  published  by  the 
Commerce  Department  and  distributed  by  the  Division  of  International 
Communications  of  the  State  Department,  of  which  Thomas  Burke  is 
Chief,  were  issued  in  two  sections  -  one  for  Europe  and  the  other 
for  Latin  America.  They  now  go  out  in  one  section  weekly,  the 
European  program  on  the  left-hand  page  each  day  opposite  the  Latin- 
American  program  on  the  right-hand  page,  so  that  the  whole  thing 
may  be  seen  at  a  glance  and,  if  desired,  the  hours  compared. 

The  changes  include  a  new  title  which  reads  in  bold- face 
type  "U.S.A.  SHORT  WAVE  RADIO  PROGRAMS"  and  there  is  an  attractive 
revised  design  on  the  cover  sheet,  a  combination  of  the  Commerce 
Department's  seal  and  radio  beams  flashing  to  Europe  and  Latin 
America.  Large  titles  are  put  at  the  top  of  each  sheet  to  make 
sure  of  no  mixup  on  the  part  of  anyone  who  has  been  accustomed  to 
dealing  with  the  programs  separately.  Asia  programs  are  shown  on 
the  back. 


The  following  note  appears  on  the  f  ront  cover: 

"This  program  service  is  designed  primarily  for  use  in 
newspapers  and  other  periodical  publications,  and  is  made  available 
to  them  through  the  Commercial  Attaches,  Trade  Commissioners  and 
the  Consular  Officers  of  the  United  States.  They  may  also  be  made 
available  to  others  having  a  particular  interest  in  short-wave 
reception  from  the  U.S.A." 

The  Radio  Manufacturers'  Association  compiles  the  programs 
but  the  idea  of  a  consolidated  U.  S.  short-wave  program  to  be  dis¬ 
tributed  by  the  Government  to  newspapers  throughout  the  world  origi¬ 
nated  with  Commander  E.  F.  McDonald,  Jr.  ,  President  of  the  Zenith 
Radio  Corporation  of  Chica.go. 

The  companies  whose  programs  are  distributed  are  the 
Columbia  Broadcasting  System;  General  Electric  Company;  National 
Broadcasting  Company;  WCAU  Broadcasting  Company,  Philadelphia; 

World  Wide  Broadcasting  Foundation,  Boston;  Crosley  Corporation, 
Cincinnati,  and  Westinghouse  Electric  &  Manufacturing  Company. 

-  2  - 


11/5/40 


There  are  three  essential  functions  in  international  broad¬ 
casting: 

First,  technical  perfection,  which  involves  the  use  of 
adequate  power  and  equipment.  The  Federal  Communications  Commission 
is  now  requiring  that  all  United  States  international  short-wave 
broadcasting  be  operated  with  a  minimum  of  50  kilowatts.  This  is 
a  first  essential  for  unless  a  broadcast  can  be  well  heard,  it  will 
have  very  limited  utility. 

Second,  the  selection  of  suitable  programs  and  the  artist¬ 
ic  or  effective  presentation  of  them  is  vital.  For  even  though  pro¬ 
grams  might  be  easily  heard,  only  those  will  listen  who  are  enter¬ 
tained  or  interested.  The  tuning  knob  is  the  individual’s  censor. 
Nothing  gets  by  it  without  the  listener's  permission. 

Third,  publicity  is  necessary  even  for  the  good  things 
which  are  readily  available.  You  must  tell  your  prospective  listen¬ 
ers  when  and  where  (at  what  frequency)  they  can  hear  the  things  in 
which  they  may  be  interested.  This  third  item  is  the  reason  for 
distributing  short-wave  programs  throughout  the  world. 

If  it  is  assumed  that  all  American  international  broad¬ 
casters  are  supplying  programs  of  interest  that  can  be  well  heard, 
then  the  importance  of  having  all  the  programs  scheduled  together 
becomes  evident.  Otherwise  the  listener  cannot  choose  except  by 
habit  the  program  which  will  interest  him  most.  The  significance 
of  this  is  evident  when  it  is  known  that  there  are  as  many  as  eight 
programs  beamed  on  Latin  America  at  the  same  time  by  United  States 
short-wave  broadcasters.  Also  the  listener  must  choose  between 
these  and  the  programs  offered  from  London,  Berlin,  Rome,  Moscow 
and  any  others  which  may  be  available  at  the  same  time. 

The  character  of  the  U.  S.  shortwave  programs  is  most 
important.  It  is  believed  by  good  authorities  that  a  large  part 
of  our  programs,  as  designed  for  home  consumption,  are  not  suitable 
for  international  broadcasts  and  that  too  many  of  them  at  present 
are  so  used.  Using  a  few  of  the  best  of  these  is  no  doubt  appreci¬ 
ated  by  some  beside  the  few  Americans  living  abroad.  Practically 
all  should  be  especially  prepared  or  very  carefully  selected  for 
reception  by  the  natives  in  other  countries.  Further,  it  should  be 
much  more  effective  if  we  were  to  provide  only  three  or  four  such 
carefully  prepared  programs  simultaneously,  rather  than  eight  or 
more  of  which  only  a  few  are  appropriate.  Such  a  reduction  in  quant¬ 
ity  with  a  corresponding  increase  in  quality  would  also  simplify  and 
so  increase  the  effectiveness  of  the  program  schedule.  Greater  free 
publicity  for  these  program  schedules  and  increased  reference  to 
them  would  thus  be  secured,  if  they  could  be  substantially  reduced 
in  size  and  complexity. 

These  U.  S.  short-wave  programs  are  being  used  effectively 
in  a  way  other  than  for  newspaper  and  periodical  publicity.  It  will 
be  realized  that  ships  which  are  any  distance  at  sea  can  seldom  hear 
the  programs  on  our  standard  domestic  broadcast  wave  lengths.  They 
are  dependent  on  short-wave  reception. 


■  ‘  v  >  : 


11/5/40 


Accordingly,  these  programs  are  used  on  practically  all 
passenger  ships  operating  in  the  Western  Hemisphere  and  are  avail¬ 
able  to  freighters  which  request  them.  It  is  conceivable  that  in 
times  of  emergencies,  the  ability  to  tune  in  on  the  several  news 
services,  which  are  conspicuously  marked  by  capitalization  in  the 
programs,  should  provide  helpful  information  to  the  captain  in 
determining  his  movements. 

XXXXXXXX 


ANTENNA  MEASUREMENT  TIME  EXTENDED 


The  Rules  and  Regulations  Governing  Standard  Broadcast 
Stations  (Section  3 . 51(a) ( 2)}  now  requires  that  all  standard  broad¬ 
cast  stations  on  and  after  December  1,  1940,  determine  the  operating 
power  by  direct  measurement  of  the  antenna  power. 

In  September,  1940,  the  Commission  released  the  proposed 
reallocation  of  standard  broadcast  stations  effective  March  29, 

1940,  which  requires  that  the  majority  of  stations  change  frequency. 
In  most  cases  the  change  in  frequency  will  make  only  a  minor  change 
in  the  antenna  resistance.  However,  in  some  cases  a  substantial 
change  in  the  antenna  resistance  will  result. 

In  view  of  the  above,  Section  3.51(a)(2)  of  the  Rules 
and  Regulations  Governing  Standard  Broadcast  Stations  is  hereby 
amended  to  read  "Each  existing  standard  broadcast  station  after 

June  1,  1941.  » 

This  extension  of  time  within  which  to  determine  power  by 
the  direct  measurement  does  not  apply  to  new  stations  (that  is,  sta¬ 
tions  beginning  operation  for  the  first  time)  or  to  existing  sta¬ 
tions  installing  new  or  readjusting  the  existing  directional  anten¬ 
nas  on  frequency  assignments  prior  to  March  29,  1941. 

In  order  that  consulting  engineers  may  be  free  to  adjust 
directional  antennas  and  measure  the  antenna  resistance  of  stations 
which  cannot  be  made  until  the  antennas  are  adjusted  for  the  new 
assignment,  it  is  urged  that  stations  for  which  a  new  frequency  is 
not  indicated  by  mimeograph  form  No.  43252,  as  well  as  those  sta¬ 
tions  for  which  a  frequency  change  is  indicated  by  the  above  form 
but  which  emoloys  a  nondirectional  series  excited  antenna  (resist¬ 
ance  measurements  of  such  stations  may  be  readily  made  for  both 
frequencies)  have  the  antenna  resistance  measured  and  submit  appli¬ 
cation  for  authority  to  determine  power  by  the  direct  method  at 
the  earliest  possible  da.te. 

It  is  also  urged  that  all  other  stations  have  measurements 
made  and  submit  application  for  authority  to  determine  power  by  the 
direct  method  as  soon  after  March  29,  1941,  as  practicable.  It  is 
not  contemplated  that  further  extension  of  this  time  will  be  made. 

XXXXXXXX 
-  4  - 


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11/5/40 


CBS  ORDERS  POWERFUL  MACKAY  FOREIGN  SERVICE  TRANSMITTERS 


The  Columbia  Broadcasting  System  has  completed  arrange¬ 
ments  with  the  Mackay  Radio  and  Telegraph  Company  for  two  powerful 
short  wave  radio  broadcasting  transmitters  to  be  located  at  Brent¬ 
wood,  Long  Island,  for  high  efficiency  beam  service  to  South  America 
and  Europe.  The  new  transmitters  will  have  a  power  output  of  50 
kilowatts  each  which,  when  coupled  with  highly  efficient  directional 
antennas,  places  them  among  the  most  powerful  short  wave  trans¬ 
mitters  in  the  world.  The  equipment  for  the  new  stations  will  be 
manufactured  and  installed  for  CB$  by  the  Federal  Telegraph  Company 
of  Newark,  N.  J.  ,  manufacturing  associate  of  Mackay  Radio. 


The  CBS  transmitters  will  share  the  1200  acre  site  at 
Brentwood  with  the  international  radiotelegraph  transmitters  of  the 
Mackay  Radio  Company,  and  Mackay  Radio  will  make  extensive  altera¬ 
tions  to  its  main  building  to  accommodate  the  CBS  equipment  and 
personnel. 

CBS  engineers  have  selected  for  these  new  transmitters 
special  designs  of  antennas  which  Mackay  Radio  has  recently  develop¬ 
ed  for  producing  more  effective  short  wave  broadcasting  service, 
particularly  to  the  countries  of  Latin  America. 


It  is  expected  that  the  new  stations  will  be  in  operation 
in  the  Summer  of  1941. 


xxxxxxxxxxx 

SIXTY  PERCENT  NON-MET.  DAILIES  OMIT  PROGRAMS 


A  recent  survey  made  by  Dial- Lite,  newly-projected  Chicago 
publication  devoted  to  radio  programs  of  mid-west  stations,  shows 
that  60$  of  the  non-metropolitan  dailies  in  the  Middle  West  carry 
no  radio  program  listings  whatsoever.  Circulation  managers  whose 
papers  do  not  publish  radio  programs  may  be  interested  to  know  of 
the  preponderance  of  dailies  in  this  category. 


The  survey  covered  335  dailies  in  Illinois,  Indiana,  Iowa, 
Kansas,  Michigan,  Minnesota,  Missouri,  Nebraska,  South  Dakota  and 
Wisconsin.  More  than  71$  of  the  papers  surveyed  have  no  national 
network  listings.  More  than  84$  of  the  papers  do  not  carry  what 
Dial-Lite  chooses  to  term  ,la  reasonably  adequate  program  listing, 
national,  local  or  both.  In  this  survey,  metropolitan  dailies  were 
not  included,  since  most  of  them  run  radio  station  program  listings. 
Consequently,  nine  cities  were  omitted:  Chicago,  Des  Moines,  Mil¬ 
waukee,  Detroit,  Kansas  City,  St.  Louis,  Minneapolis,  St.  Paul,  Omaha. 


Of  the  335  papers  surveyed,  200  carry  no  program  listings; 
40  publish  national  network  programs  only;  39  list  local  programs 
and  56  carry  both  local  and  national  programs. 


XXXXXXXX 
-  5  - 


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11/5/40 


BURGLARS  TURN  INTO  RADIO  SONG  WRITERS 


The  broadcasters  have  turned  to  new  fields  in  their  fight 
on  the  American  Society  of  Composers  by  adding  a  trio  of  alleged 
burglars  to  their  list  of  composers  last  week.  As  announced  in 
National  Association  of  Broadcasters’  Reports ; 

"John  McGettigan  steps  out  of  jail  on  Saturday,  November 
2,  to  carry  on  a  career  which  brought  success  to  him  through  prison 
walls.  He  composed  the  music  of  ’Stars  Went  To  Sleep',  said  to  be 
the  first  song  ever  completely  written,  printed,  and  published  from 
within  a  penintentiary.  The  song  has  been  successfully  performed  on 
the  radio  and  the  sheet  music  has  been  selling  well,  according  to 
Billboard.  The  tune  has  now  been  acquired  by  Broadcast  Music,  Inc. 
The  composer  is  discharged  from  jail  to  hear  his  music  go  on  the 
air  from  coast  to  coast. 

"Merritt  Marsh,  who  wrote  the  words,  and  Edmund  M.  Duffy, 
the  publisher,  still  remain  behind  the  bars.  The  trio  were  strang¬ 
ers  until  they  all  landed  in  the  State  Penintentiary  at  McAlester, 
Oklahoma.  The  song  and  the  trio  who  produced  it  have  already  had 
some  publicity.  A  fellow-prisoner  wrote  Elsie  Robinson  about  them 
and  Miss  Robinson  devoted  her  widely  syndicated  column  for  one  day 
to  his  letter,  saying,  in  part: 

"'Buried  in  their  cells,  poisoned  by  grim  memories,  there 
came  to  a  trio  of  convicts  a  flash  of  sheer  beauty  -  the  whisper  of 
a  song.  For  two  years,  without  the  slightest  outside  aid  and  in 
the  face  of  incredible  handicaps,  they  worked  on  that  song. 

"'Marsh,  serving  a  seven-year  term  for  armed  robbery, 
composed  the  lyrics;  McGettigan,  serving  a  five-year  prison  sentence 
for  burglary,  produced  the  melody;  and  Duffy,  serving  a  fifteen-year 
sentence  for  armed  robbery,  financed  the  publication. ' " 

XXXXXXXXXX 
C.  I.  0.  LOSES  RADIO  PLEA  TO  FCC 

The  Federal  Communications  Commission  officials  said  last 
week  that  they  had  no  authority  to  act  on  the  protest  of  President 
John  L.  Lewis  of  the  C.  1.0.  against  the  refusal  of  Station  KYA, 

San  Francisco,  to  renew  a  broadcasting  contract  held  by  the  C.I.O. 
for  two  years.  The  station,  owned  by  Radio,  Inc. ,  held  that  the 
C.I.O.  »a  program  was  controversial  and  therefore  could  not  be  broad¬ 
cast  on  purchased  time,  being  contrary  to  a  provision  of  the  Nation¬ 
al  Association  of  Broadcasters'  code  adopted  a  year  ago. 

Pointing  out  that  radio  broadcasting,  unlike  the  telephone 
and  telegraph,  is  not  "a  common  carrier",  the  FCC  officials  said 
radio  stations  are  under  no  compulsion  to  sell  time  to  any  individ¬ 
ual  or  group.  The  Commission,  they  explained,  has  no  power  to  inter¬ 
fere  with  the  contractural  relations  between  broadcasters  and  pur¬ 
chasers  of  time. 

XXXXXXXX 
-  6  - 


11/5/40 


FM  OFF  TO  GOOD  GEOGRAPHICAL  START 


More  than  27,000  persons  are  embraced  in  the  110,000 
square  miles  of  potential  service  areas  of  the  15  frequency  modula¬ 
tion  broadcast  stations  initially  authorized  by  the  Federal  Com¬ 
munications  Commission  to  go  on  a  full  commercial  basis  as  soon  as 
practicable. 

Varied  geographic  regions  -  from  New  England  to  the  Pacif 
ic  Coast  and  from  the  Great  Lakes  to  the  Gulf  -  are  represented  by 
the  10  States  first  slated  to  be  able  to  listen  to  this  newest  type 
of  broadcast. 


Subject  to  certain  engineering  requirements,  the  follow¬ 
ing  FM  applicants  are  the  first  to  receive  Commission  grants  to  go 
commercial : 


Location 

Applicant 

Frequency 

(kc) 

Peculation 

Detroit 

Evening  News  Ass’n 

44, 500 

2,498,000 

Los  Angeles 

Don  Lee  Broadcasting 
System 

44,500 

2,600,000 

Schenectady 

Capitol  Broadcasting 

Co.  ,  Inc. 

44, 700 

967,700 

New  York 

Marcus  Loew  Booking 

46,300) 

. 

Agency 

) 

National  Broadcasting 

45,100) 

Co. 

Wm.  G.  H.  Finch 

)  - 

45,500) 

12,000,000 

Brooklyn,  N.  Y. 

Frequency  Broadcasting 
Corp. 

45, 900) 

Evansville,  Ind. 

Evansville  On  the  Air, Inc. 

44,500 

465,000 

Mt.  Washington, N. H. 

Yankee  Network 

43 , 900 

2,000,000 

Binghamton,  N.  Y. 

Howitt-Wood  Radio  Co. Inc. 

44, 900 

256,300 

Baton  Rouge,  La. 

Baton  Rouge  Broadcasting 
Co. 

44,500 

361,400 

Columbus,  Ohio 

WBNS,  Inc. 

44,500 

1,100,000 

Salt  Lake  City 

Radio  Service  Corp.  of 
Utah 

44,700 

194,000 

Chicago 

Zenith  Radio  Corp. 

45,100 

4,500,000 

Milwaukee 

The  Journal  Co. 

45, 500 

1,522,000 

Some  of  these  stations  have  been  operating  experimentally 
and  hope  to  start  commercial  operation  almost  immediately;  the  rest 
have  construction  work  to  do  before  going  on  the  air. 


Thirty-six  additional  applications  are  awaiting  early  ac¬ 
tion,  the  result  of  a  rush  of  requests  for  high  frequency  broadcast 
facilities  since  the  Commission,  last  May,  paved  the  way  for  FM 
commercialization. 

Meanwhile,  the  Commission  is  investigating  the  possibility 
of  assigning  identifying  call  letters  to  FM  stations  to  distinguish 
them  from  standard  broadcast  stations. 


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Under  Commission  rules  and  regulations,  FM  stations  ere 
available  to  every  community.  They  are  not  subject  to  the  same 
interference  as  standard  broadcast  stations  and,  therefore,  can 
operate  on  the  same  channel  with  less  mileage  separation.  However, 
FM  stations  serving  the  same  area  are  not  assigned  adjacent  chan¬ 
nels.  As  many  as  a  dozen  or  more  different  FM  stations  using 
alternate  channels  may  operate  in  a  large  metropolitan  area. 

These  high  frequency  broadcast  stations  are  authorized  to 
serve  a  specified  area  in  square  miles.  Service  area  is  comparable 
in  places  where  one  or  more  such  stations  may  be  located.  To 
obviate  possible  monopoly,  and  to  encourage  local  initiative,  no 
person  or  group  is  permitted  to  control  more  than  one  FM  station  in 
the  same  area,  and  not  more  than  six  in  the  country  as  a  whole. 

At  the  outset,  the  Commission  is  requiring  a  daily  (except 
Sunday)  minimum  operating  schedule  for  FM  stations  of  at  least  three 
hours  during  the  day  and  three  hours  at  night.  To  demonstrate  the 
capabilities  of  the  new  service,  one  hour  a  day  at  least  must  be 
devoted  to  programs  not  duplicated  simultaneously  in  the  same  area, 
which  means  programs  distinct  from  standard  broadcast.  Otherwise, 

FM  operation  is  governed  largely  by  standard  broadcast  rules. 

FM  will  not  interfere  with  standard  broadcast  (amplitude 
modulation).  The  two  types  of  services  are  on  different  bands  - 
AM  in  the  lower  part  of  the  spectrum  (550  to  1600  kilocycles),  and 
FM  in  the  higher  frequencies  (43,000  to  50,000  kilocycles).  Intro¬ 
duction  of  PM  does  not  make  standard  broadcast  obsolete.  FM  has  a 
more  limited  range  and  the  rural  areas  particularly  must  continue 
to  depend  upon  AM  for  years  to  come. 

Because  of  their  different  positions  in  the  spectrum,  PM 
cannot  be  received  on  standard  broadcast  receivers  and  vice  versa. 
That  is  why  certain  manufacturers  are  making  separate  FMsets  or  a 
combination  of  the  two.  Besides  being  claimed  static-less,  FM 
offers  more  tone  range  than  standard  broadcast  and  has  particular 
appeal  to  listeners  who  like  fidelity  of  sound,  such  as  in  musical 
broadcasts.  It  also  opens  up  new  broadcast  facilities  to  augment 
the  congrested  standard  broadcast  band. 

The  service  area  of  the  station  at  Salt  Lake  City  is 
limited  to  considerable  less  area  than  the  basic  trade  area  of  Salt 
Lake  City.  The  topography  of  the  area  surrounding  Salt  Lake  City 
makes  it  technically  impractical  to  serve  a  larger  area  which  would 
include  anything  like  all  of  the  basic  trade  area.  All  other  ser¬ 
vice  areas  are  made  to  conform  substantially  with  the  basic  trade 
area  of  the  city  in  which  the  station  is  located.  In  the  case  of 
Los  Angeles,  there  are  certain  technical  limitations  due  to  the 
topography  and  configuration  of  the  trade  area  which  have  been  taken 
into  consideration. 

XXXXXXXXX 
-  8  - 


11/5/40 


CAMPAIGN  BROADCASTS  ESTIMATED  $1,500,000 


More  than  $1,200,000  has  been  spent  to  date  in  this  presi¬ 
dential  campaign  by  the  major  political  parties  for  sponsored  time 
on  the  radio,  it  was  estimated  by  the  New  York  Times  last  Sunday. 

By  the  time  the  campaign  ends,  it  is  likely  another  $200,000,  or 
more,  may  be  added  to  the  sum. 

When  John  k.  Lewis  went  on  the  air  recently  over  three 
large  networks  aggregating  nearly  300  stations,  radio,  according  to 
reports,  charged  a  fee  of  about  $60,000,  a  considerable  part  of 
which  represented  rebates  returning  to  the  Fred  Allen  and  Eddie 
Cantor  shows.  When  Mr.  Willkie  missed  a  recent  microphone  appoint¬ 
ment  of  about  thirteen  minutes  on  the  NBC  at  Erie,  Pa.,  his  politi¬ 
cal  sponsors  were  charged  about  $8,000,  nearly  half  of  which  went 
for  organ  music  used  to  fill  the  gap  until  he  arrived. 

Based  on  an  estimate,  National  Broadcasting  Company,  in¬ 
cluding  all  broadcasts  to  last  Friday,  will  charge  against  the 
Democrats  about  $230,000,  with  the  possibility  that  another  $120,000 
may  be  added  by  election  day.  Against  the  Republicans  the  NBC  will 
bill  to  Friday  about  $225,000,  with  an  addition  of  about  $75,000  by 
the  end  of  the  campaign.  The  estimated  total  is  about  $650,000. 

Columbia  Broadcasting  System  charges  against  all  parties 
by  the  close  of  the  campaign,  it  is  estimated,  will  be  $400,000  to 
$450,000.  About  50  percent  of  the  CBS  bill  for  radio  time  is  ex¬ 
pected  to  be  against  the  Democrats,  30  percent  Republican  and  the 
remainder  against  various  independent  political  organizations. 

Another  $250,000  will  be  charged  in  1940  by  the  Mutual 
System  against  all  political  organizations. 

Of  these  amounts  the  Associated  Willkie  Clubs  of  America 
will  have  spent  this  year  about  $200,000. 

XXXXXXXX 
SHE  TOLD  IT  TO  THE  MARINE.' 

When  E.  F.  McDonald,  Jr.  ,  President  of  the  Zenith  Radio 
Corporation  visited  Zenith's  Automobile  Show  booth  the  night  of  his 
arrival  in  New  York,  he  found  they  had  hired  a  new  girl  to  sit  in 
one  of  their  cars  to  demonstrate  the  new  Zenith  foot-controlled  auto 
radio.  She  did  not  know  Commander  McDonald  who  walked  over  to  see 
what  her  line  of  chatter  was.  But  just  as  he  landed  at  the  star¬ 
board  side  of  the  car,  a  man  in  muftis  came  to  the  port  side  of  the 
car  and  engaged  the  demonstrator’s  attention.  He  wasn't  interested 
in  the  foot  switch  but  seemed  to  be  very  near-sighted  as  he  was 
interested  in  the  valentine  Zenith  had  demonstrating  the  foot  switch. 
He  told  her  he  was  a  Marine  and  was  in  civies  for  the  day. 

Mr.  McDonald  stayed  there  for  some  time  -  12  minutes  to  be 
exact  -  trying  to  get  the  lady  to  tell  him  something  about  the  foot 
switch.  She  did  finally  condescend  to  speak  to  him  after  the  Marine 
asked  her  for  her  address.  She  turned  to  Commander  McDonald  and 
asked  him  if  he  had  a  pencil.' 

XXXXXXXX 


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TRADE  NOTES 


William  S.  Paley,  President  of  the  Columbia  Broadcasting 
System,  sets  out  on  Nov.  7  with  two  other  executives  of  the  Company 
on  a  six-week  aerial  tour  of  South  America.  Mr.  Paley  will  be  ac¬ 
companied  by  Paul  W.  White,  Director  of  News  Programs,  and  Edmund 
Chester,  newly  appointed  Director  of  Latin  American  Relations.  Mrs. 
Paley  also  will  make  the  trip.  The  itinerary  calls  for  visits  to 
Panama,  Colombia,  Ecuador,  Peru,  Chile,  Argentina,  Uruguay,  Brazil 
and  Venezuela. 


The  Red  Cross  Certificate,  awarded  to  only  three  persons 
in  Washington,  was  presented  to  Edgar  Morris,  Zenith  distributor  in 
the  Capital,  by  Brig.  Gen.  F.  R.  Keifer,  District  Chapter  Chairman 
for  the  leadership  of  Mr.  Morris  in  the  Roll  Call  just  ended,  the 
most  successful  in  local  history. 


The  Federal  Communications  Commission  has  granted  an  appli¬ 
cation  of  Guy  S.  Cornish  of  Cincinnati  to  erect  a  new  Class  II 
experimental  station  to  operate  on  the  frequency  310,000  kilocycles 
with  a  power  of  1  watt  and  Type  A3  emission. 


Station  WBAL  in  Baltimore  has  ordered  a  50,000  watt  trans¬ 
mitter  from  the  Westinghouse  Electric  &  Manufacturing  Company.  Air¬ 
cooled  tubes  and  other  improvements  will  permit  an  operating  effici¬ 
ency  of  approximately  50  percent.  This  means  that  the  station  will 
radiate  50,000  watts  in  the  antenna  from  an  input  of  about  105,000 
watts  at  the  transmitter.  A  few  years  ago,  operating  efficiencies 
were  not  more  than  30  percent. 

The  transaction  was  completely  local  to  Baltimore,  as  the 
transmitter  will  be  manufactured  in  the  Radio  Division  of  Westing- 
house,  whose  plant  is  in  Baltimore. 


Pioneer  air  entertainers  will  again  broadcast  on  Friday, 
November  8,  when  Station  WEAF  dedicates  its  new  transmitter,  at 
8:30  P.M. ,  EST.  Niles  Trammell,  NBC  President,  will  inaugurate 
service  over  the  new  transmitter. 

Dedication  of  the  new  transmitter,  marking  the  establish¬ 
ment  of  a  new  standard  of  service  to  the  listener,  coincides  within 
a  few  days  with  the  celebration  of  radio  broadcasting’s  twentieth 
anniversary. 


XXXXXXXX 


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11/5/40 


RCA  UP  SHARPLY  TO  $98,204,219 


The  Radio  Corporation  of  America  and  subsidiaries  had  a 
consolidated  net  income  of  $5,713,943  in  the  first  nine  months  of 
this  year.  This  was  equal,  after  full  preferred  dividend  require¬ 
ments,  to  24  cents  a  share  on  the  corporation's  13,881,016  shares 
of  common  stock  outstanding,  and  compares  with  a  net  of  $4,066,425, 
or  12  cents  a  common  share,  in  the  first  nine  months  of  1939. 


G-ross  revenues  of  the  RCA  group  for  the  nine  months  aggre¬ 
gated  $98,204,219,  compared  with  $74,780,658  in  the  corresponding 
1939  period,  while  operating  expenses,  exclusive  of  depreciation 
and  taxes,  rose  to  $78,579,251  from  $66,650,333  a  year  ago. 


XXXXXXXXX 


SEARCHING-  CONGRESSIONAL  LIBRARY  FOR  EDUCATIONAL  RADIO  MATERIAL 


Archibald  MacLeish,  the  Librarian  of  Congress,  has  announc¬ 
ed  that  the  Rockefeller  Foundation  has  placed  at  the  disposition  of 
the  Library  of  Congress  the  services  of  two  Fellows  in  Ra.dio  Research 
whose  first  duty  will  be  to  survey  those  resources  of  the  Library 
which  might  be  of  service  to  educational  broadcasting  groups. 

University  broadcasting  stations  and  other  educational 
stations  throughout  the  country  may  apply  to  the  Fellows  by  mail  or 
wire  for  their  assistance  in  planning  programs,  in  supplying  back¬ 
ground  material,  and  in  suggesting  bibliographic  and  other  supple¬ 
mentary  material.  It  is  believed  that  the  Fellows  will  be  of  parti¬ 
cular  use  in  connection  with  programs  drawing  upon  the  rich  resources 
of  the  Library  of  Congress  in  the  fields  of  American  History  and  of 
American  Folk  Music  and  Polk  Tales. 

The  Library's  Fellows  in  Radio  Research  are  Philip  H. 

Cohen,  former  Production  Director  of  the  Office  of  Education  Radio 
Division  and  Associate  Director  of  the  New  York  University  Radio 
Workshop,  and  Charles  T.  Harrell,  Program  Director  of  Station  WLB, 
on  leave  from  the  University  of  Minnesota  station. 

XXXXXXXX 

An  Ohioan  is  informed  by  the  Federal  Communications  Com¬ 
mission  that  no  Federal  license  is  required  for  a  short  wave  receiver 
installed  in  an  automobile.  However,  his  attention  is  invited  to 
that  section  of  the  Communications  Act  which  prohibits  unauthorized 
interception  and  use  of  radio  communications  other  than  those  in¬ 
tended  for  public  use. 


XXXXXXXX 


11  - 


ft 

Xs 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


|  I  L=i  45  lL  Li  &  iA  . , 

i  u* NOV  12 

a  «r  * 


INDEX  TO  ISSUE  OF  NOVEMBER  8,  1940. 


Sabotage  Denied  In  U.  S.  Standards  Radio  Fire . 2 

FCC  Passes  Buck  On  Father  Coughlin....* . *... . * . 3 

Milwaukee  Gets  New  Television  Station.... . . . 3 

FCC  Commissionership  Biggest  Radio  Plum... . 4 

j  _ 

FCC  Authorizes  Many  Changes.  ..»*.** . * . .  7 

I 

Sees  Color  Television  Test  New  Advertising  Era  Peep-Hole . 8 

No  Election  Dilly-Dallying  For  Dill . 10 

Sees  FCC  Trying  To  Favor  Lewis . 10 

Trade  Notes . 11 

7000  At  WGY  Farm  Forum . 12 


No.  1281 


SABOTAGE  DENIED  IN  U.  S.  STANDARDS  RADIO  FIRE 


An  investigation  of  a  fire  that  destroyed  the  $50,000 
Bureau  of  Standards  radio  transmitting  station  at  Beltsville,  Md.  , 
near  Washington,  D.  C. ,  last  Wednesday,  was  said  to  have  revealed 
no  evidence  of  sabotage.  The  station  was  used  to  transmit  various 
frequencies  by  which  the  standard  broadcast  stations  measure  and 
check  their  own  frequencies. 

Luckily  a  small  building  nearby  was  saved.  It  is  expect¬ 
ed  that  a  temporary  5  megacycle  standard  frequency  transmitter  will 
be  in  operation  there  within  a  few  days  and  that  others  may  soon  be 
set  up.  It  is  expected  that  the  entire  plant  will  be  rebuilt  but 
it  will  necessitate  an  emergency  appropriation  from  Congress. 

Firemen  from  three  companies,  hampered  by  high  winds  had 
difficulty  in  securing  water  to  check  the  flames.  So  fierce  was 
the  blaze  that  it  fired  two  acres  of  wooded  land  behind  the  two- 
story  frame  structure,  located  on  the  Agriculture  experimental  farm 
grounds,  and  C.  C. C.  workers  battled  for  four  hours  to  stamp  out 
the  forest  blaze. 

A  watchman  noticed  smoke  coming  from  the  attic  of  the 
building  at  6:30  A.M.  Firemen  from  the  Government  farm,  Branch- 
ville  and  Berwyn  answered  the  alarm  he  gave.  They  were  forced  to 
stretch  hose  lines  almost  half  a  mile  to  reach  the  nearest  hydrant, 
since  a  water  tap  near  the  building  was  not  large  enough  to  permit 
a  sufficiently  heavy  flow  of  water,  firemen  said.  By  the  time 
water  was  flowing  from  the  distant  hydrant,  the  building  was  in 
ruins,  with  only  a  chimney  standing. 

E.  C.  Crittenden,  Chief  of  the  Electrical  Division  of  the 
Bureau  of  Standards  said  that  he  did  not  believe  any  serious  trouble 
would  result  from  destruction  of  the  transmitter  and  that  it  would 
be  replaced  as  soon  as  possible. 

The  whole  apparatus  is  automatic,  unattended  except  for 
maintenance.  Mr.  Crittenden  said  a  mechanical  defect  probably  was 
responsible  for  the  fire  and  described  much  of  the  equipment  as 
being  "quite  old",  having  been  installed  eight  years  ago. 

It  was  explained  that  the  small  Congre ssional  appropria¬ 
tion  wasn’t  sufficient  to  employ  a  full-time  watchman.  This  is  the 
second  Government  fire  at  which  the  question  of  sabotage  has  been 
raised.  The  other  one  was  the  recent  disastrous  Munitions  Building 
blaze  where  the  War  Department  Radio  Center  is  located  and  which 
also  occurred  in  the  early  hours  of  the  morning.  Although  sabot¬ 
age  was  denied,  a  well-known  newspaper  columnist  declared  there 
had  been  twenty  fires  there  in  almost  as  many  days. 

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At  the  War  Department,  the  question  of  watchman  vigilance 
was  also  raised.  Although  the  fire  could  be  seen  for  miles,  when 
the  alarm  was  sounded,  this  writer  was  told  that  Engine  #1  only 
about  eight  blocks  away,  one  of  the  first  companies  to  respond,  was 
obliged  to  crash  down  by  driving  through  the  Munitions  Building 
gates  because  no  watchman  was  at  hand  to  open  them. 

Dr.  J.  H.  Dellinger,  Chief  of  the  Radio  Division  of  the 
Bureau  of  Standards,  suffering  from  a  bad  cold  at  the  time  of  the 
Standards  fire,  was  still  confined  to  his  home  but  it  was  said  at 
the  Bureau  that  it  was  hoped  there  would  be  only  a  temporary  sus¬ 
pension  of  the  standard  frequency  transmission  work. 

XXXXXXXXX 


FCC  PASSES  BUCK  ON  FATHER  COUGHLIN 


Various  letters  referring  to  discontinuance  of  broadcasts 
by  the  Rev.  Charles  E.  Coughlin  have  been  received  by  the  Federal 
Communications  Commission.  In  reply  to  these,  the  Commission  reit¬ 
erates  that  the  censorship  provision  of  the  Communications  Act  places 
responsibility  for  the  selection  of  program  material  upon  the  res¬ 
pective  licensees,  and  the  Commission  cannot  require  a  station  to 
put  any  individual  on  the  air  or  take  him  off  the  air. 

In  answering  mail  prompted  by  refusal  of  radio  time, 
the  Commission  points  out  that  the  Act  further  provides  that  a 
broadcast  station  is  not  a  "common  carrier"  such  as  is  the  telephone 
and  telegraph.  Consequently,  a  radio  station  is  not  required  to 
make  its  facilities  available  to  a  person  or  group,  even  though 
offer  is  made  to  purchase  time.  Unlike  common  carrier  tariffs, 
broadcast  station  rates  are  not  required  to  be  filed  with  the  Com¬ 
mission. 


XXXXXXXXXX 

MILWAUKEE  GETS  NEW  TELEVISION  STATION 


A  permit  for  a  new  television  station  has  been  granted 
to  the  Milwaukee  Journal,  Milwaukee,  Wis. ,  on  a  frequency  of  6600- 
72000  kc. ,  (Channel  No.  3),  1  KW  aural  and  visual  power.  The  site 
of  the  station  is  to  be  determined. 

The  application  for  a  television  station  at  Springfield, 
Mass.  ,  made  by  Henry  J.  Walczak,  has  been  voluntarily  dismissed. 

XXXXXXXX 


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11/8/40 


FCC  COMMISSIONERSHIP  BIGGEST  RADIO  PLUM 


Insofar  as  radio  is  concerned,  it  is  believed  things  in 
Washington  will  wag  along  about  as  usual  following  the  re-election 
of  President  Roosevelt.  A  new  Federal  Communications  Commissioner  - 
a  Republican  to  succeed  Thad  H.  Brown  -  is  due  to  be  appointed  and 
this  is  being  fondly  eyed  by  the  politicos.  There  will  be  a  few  new 
faces  on  the  Senate  Interstate  Commerce  Committee  and  the  House 
Merchant  Marine  and  Fisheries  Committees,  which  handle  radio  matters 
in  the  Senate  and  House,  but  Senator  Burton  K.  Wheeler,  of  Montana, 
Chairman  of  the  former  Committee,  and  Representative  Schuyler  Otis 
Bland,  of  Virginia,  Chairman  of  the  latter,  both  having  been  re¬ 
elected,  things  will  doubtless  continue  to  move  along  smoothly  under 
the  same  old  management. 

According  to  returns  available  at  this  writing,  Senator 
^heeler  defeated  his  opponent  in  Montana  overwhelmingly  and  ran 
ahead  of  President  Roosevelt  with  whom  he  has  frequently  disagreed. 
Senators  on  the  Committee  who  were  re-elected  were  Truman,  of 
Missouri;  Andrews,  of  Florida;  Lister  Hill,  of  Alabama;  Austin, 
of  Vermont;  Shipstead  of  Minnesota;  Reed  of  Kansas,  and  Gurney  of 
South  Dakota. 

Senator  Charles  W.  Tobey,  of  New  Hampshire,  so  well- 
remembered  with  his  cracking  of  the  whip  in  the  Thad  Brown  hearings, 
is  also  a  member  of  the  Committee,  was  not  up  for  re-election. 

There  will  be  several  vacancies.  Senator  Minton,  of  Indiana,  was 
defeated.  Senator  Mathew  M.  Neeley  will  retire,  having  been  elected 
Governor  of  West  Virginia.  The  late  Senator  Lundeen  of  Minnesota, 
was  also  a  member  of  this  Committee. 

There  will  be  about  four  vacancies  on  the  Merchant  Marine 
and  Fisheries  Committee,  one  of  these  being  Representative  Eugene, 
Democrat,  of  Indiana,  who  was  defeated.  Apparently  all  of  the 
other  Committee  members  have  been  re-elected. 

Several  names  have  already  been  mentioned  for  the  Federal 
Communications  Coramissionership,  and  many  more  will  doubtless  be 
proposed,  because  this  is  a  nice  Juicy  $10,000  plum  which  may  or 
may  not  go  to  some  deserving  Roosevelt  Republican  for  campaign  ser¬ 
vices.  This  would  cause  no  great  surprise  to  the  communications 
industry  which  has  never  yet  had  a  hand  in  any  of  the  appointments, 
or  as  a  rule  have  the  appointees  been  soecially  qualified.  One  new 
Commissioner  was  asked  what  he  knew  about  radio  and  he  answered, 
"Well,  I  like  to  listen  to  it." 

Among  the  names  suggested  for  the  Commissionership,  the 
only  one  of  which  the  industry  has  probably  ever  heard  -  and  he  has 
its  highest  respect  -  is  E.  K.  Jett,  present  Chief  Engineer  of  the 
Federal  Communications  Commission.  Lieutenant  Jett  succeeded 
Commissioner  T.A.M.  Craven  in  this  position,  and  like  Commander 
Craven,  was  formerly  a  Naval  officer.  Mr.  Jett  was  born  in  Balti¬ 
more  in  1893  and  served  in  the  Navy  as  radio  officer  from  1911-29. 


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Senator  Wheeler,  who,  it  is  expected,  may  have  a  voice 
in  the  appointment,  has  frequently  demanded  somebody  from  the  West. 
One  of  the  first  of  these  to  be  proposed  was  Carl  Irving  Wheat,  of 
San  Francisco,  who  was  telephone  rate  attorney  for  the  Federal 
Communications  Commission  in  1936-37,  and  later  telephone  rate 
counsel  and  Director  of  Telephone  Rate  and  Research  Department  of 
the  FCC  at  the  time  of  the  Government  telephone  investigation  in 
1937-38. 


Mr.  Wheat,  as  a  matter  of  fact,  was  born  in  Holliston, 

Mass. ,  in  1892,  but  went  to  California  at  an  early  age.  He  was 
graduated  from  Occidental  College  Academy  in  Los  Angeles,  in  1911, 
with  an  A.  B.  at  Pomona  College,  Claremont,  Calif,  in  1915,  and  an 
LL. B. ,  at  Harvard  in  1920.  He  was  admitted  to  the  California  bar 
in  that  same  year  and  began  practice  in  Los  Angeles,  first  as 
attorney  for  the  Railroad  Commission  of  California,  of  which  he 
later  became  Chief  Counsel. 

Another  California  Man  spoken  of  is  Ray  C.  Wakefield,  of 
Palo  Alto,  former  President  of  the  California  Railroad  Commission. 

Mr.  Wakefield  is  45  years  old,  was  Inheritance  Tax  Appraiser  for 
State  of  California  in  Fresno  Co.,  1923-37;  member  law  firm  of 
Wakefield  &  Hansen,  1928-32,  Wakefield  &  Staniford,  1935-37;  member 
of  the  California  Railroad  Commission  since  January  1937  (President 
of  Commission  August  1938-January  1940;  Vice-President,  National 
Railroad  and  Utilities  Commissioners  since  August,  1940;  Secretary 
Republican  Central  Committee,  Fresno  Co. ,  1920-21;  Chairman,  1922- 
23;  member  State  Republican  Central  Committee,  1922-23;  Delegate  to 
Republican  National  Convention,  Chicago,  1932.  Director  of  Commun¬ 
ity  Chest  and  Y.  M. C.A. ,  Fresno.  He  is  a  member  of  the  American  Bar 
Association,  California  State  Bar  Association,  Order  of  Coif,  Delta 
Chi.  He  is  also  a  member  of  the  First  Christian  Church,  Fresno  and 
is  a  Mason.  His  clubs  are  Kiwanis  International  (Lt.  Gov.  Calif. - 
Nev.  Dist.  1932);  Commonwealth  (San  Francisco). 

Still  another  Westerner  mentioned  is  John  C.  Kendall, 
radio  practitioner,  formerly  of  Portland,  Ore.  Another  is  Arthur  G. 
Crane,  President  of  the  University  of  Wyoming,  Chairman  of  the 
National  Committee  on  Education  by  Radio  since  1936.  His  biograph¬ 
ical  sketch  follows: 

Mr.  Crane  was  born  at  Davenport  Center,  Delaware  Co.,  N.Y.  , 
September  1,  1877,  son  of  Edward  Payson  and  Mary  Ward  (Griswold)  C. ; 
B.3,  Carleton  College,  Northfield,  Minn.,  1902;  studied  University 
of  Wisconsin,  Summers,  1908,  09;  A.M.,  Teachers  College  (Columbia) 
1918;  Ph.  D. ,  Columbia,  1920;  married  Laura  May  DeArment,  of 
Conneaut  Lake,  Pennsylvania,  August  23,  1904;  children  -  Paul,  Mary. 
Superintendent  of  Schools,  Minot,  N.  Dak.,  1902-05;  Principal, 

Fergus  Co.  High  School,  Lewiston,  Mont.,  1905-07;  Superintendent  of 
Schools,  Jamestown,  N.  Dak.,  1907-12;  President,  State  Normal  School, 
Minot,  N.  Dak.,  1912-20  (built  and  organized  this  school);  Principal, 
State  Normal  School,  Eainboro,  Pa. ,  1920-22;  President  University  of 
Wyoming  since  1922.  Major  in  Sanitary  Corps  on  duty  in  office  of 
Surgeon  General,  Washington,  D.  C. ,  1918-19,  as  Director,  Education¬ 
al  Sect.  Division  of  Physical  Re  construction,  in  rehabilitation  of 


11/8/40 


disabled,  soldiers  and  sailors.  Member  North  Dakota  State  Board  of 
Education;  Chairman,  National  Committee  on  Education  by  Radio 
since  1936,  Committee  on  Higher  Education  of  N.E.A.  ,  since  1936. 
Member.  North  Dakota  State  Educational  Association  (President  1915), 
Phi  Beta  Kappa  ( Carleton  College),  Delta  Sigma  Rho,  Phi  Delta  Kappa. 
Republican,  Presbyterian,  Mason;  Author  of  "History  of  Physical 
Reconstruction"  in  official  Medical  History  of  the  World  War.  Joint 
editor,  courses  of  study  for  use  in  Array  hospitals.  Home,  Laramie, 
Wyoming. 

Theodore  Granik,  who  conducts  the  American  Forum  of  the 
Air  over  the  Mutual  Network,  has  been  spoken  of  as  an  FCC  appointee, 
also  Nelson  Lee  Smith,  Chairman  of  the  New  Hampshire  Public  Util¬ 
ities  Commission.  Likewise  Willis  Jerome  Ballinger,  economic 
adviser  of  the  Federal  Trade  Commission.  Mr.  Ballinger's  biographi¬ 
cal  sketch  follows: 

Mr.  Ballinger  is  an  economist;  bom  Washington,  D.  C.  , 

May  17,  1901;  son  of  Webster  and  Marva  Faye  (Dixon)  B.  ;  Ph.  B.  , 

Yale,  1923;  studied  law,  Yale,  1924-25,  George  Washington  University, 
1926-27;  student  Harvard  Graduate  School,  1932-33;  unmarried. 
Instructor  Economics,  Smith  College,  Northampton,  Mass. ,  1923-24; 
Instructor,  Political  Science  and  International  Relations,  Amherst 
(Mass.)  College,  1923-24;  Lecturer  Roxbury  School,  New  Haven,  Conn., 
and  editorial  writer,  New  Haven  Union,  1924-25;  Staff  correspondent, 
United  Press,  covering  Department  of  Commerce,  Washington,  D.  C. , 
1925;  Feature  writer  UPC  News  Service,  Inc.,  N.Y.Qity,  1925,  Associ¬ 
ate  Editor,  1926-28;  Instructor,  Economics  and  Sociology,  Goucher 
College,  Baltimore,  1928-31;  Professor,  Economics,  American  Insti¬ 
tute  of  Banking,  1930-31;  editorial  writer,  Baltimore  Sun,  1930; 
Member,  editorial  staff,  New  York  Herald  Tribune,  1931;  Assistant 
Professor  Economics,  Williams  College,  Williamstown,  Mass.,  1931-32; 
editorial  writer  Washington  (D.C. )  Post,  1933;  St.  Louis  Post- 
Dispatch,  1934;  Chief  of  Special  Studies,  Securities  and  Exchange 
Commission,  Washington,  D.  C. ,  1934-37;  Economic  Adviser  to  the 
Federal  Trade  Commission,  1937.  Chairman,  Speaker's  Bureau, 
LaFollette-Wheeler  presidential  ticket,  1924,  for  State  of  Connecti¬ 
cut.  Dir.  studies  for  Federal  Trade  Commission  before  Temporary 
National  Econ.  Com.  Member,  American  Economics  Association,  Ameri¬ 
can  Statistical  Association,  Phi  Beta  Kappa,  Delta  Sigma  Rho,  Alpha 
Sigma  Phi.  Episcopalian.  Clubs:  Yale,  National  Press.  Home: 
Washington,  D.  C. 

xxxxxxxxxx 

Advertised  as  the  book  that  stopped  trial  by  newspaper  in 
Massachusetts  "Contempts  by  Publication"  also  contains  Chapters 
devoted  to  contempts  by  radio,  television,  telephone  and  the  movies. 
The  author  is  Harold  W.  Sullivan,  of  the  Yale  School  of  Law.  The 
Price  is  $10,  postage  prepaid:  Frank  T.  Day,  Inc.,  729  Boylston 
Street,  Boston,  Massachusetts. 

XXXXXXXXX 


6 


■  1 .  I*  ■-}•  v  M  ; 


11/8/40 


FCC  AUTHORIZES  MANY  CHANGES 


These  are  busy  days  at  the  Federal  Communications  Commis¬ 
sion.  Among  the  increases  in  power  authorized  recently  were  WALA, 
Mobile,  Ala. ,  from  1  KW  to  5  KW  day  and  night;  WNBC,  New  Britain, 
Conn.,  from  1  KW  to  5  KW  day,  1  KW  night;  KOIL,  Omaha,  Nebr. ,  from 
1  KW  to  5  KW  night,  5  KW  day;  WHIO,  Dayton,  Ohio,  from  1  KW  to  5  KW 
night,  5  KWday;  WNBX,  Kenne,  N.  H.,  day  and  night  power  from  1  KW 
to  5  KW.  (Stations  KOIL,  WHIO  and  WNBX,  worked  out  mutual  inter¬ 
ference  problems  by  agreement  on  directional  antenna);  KDFN,  Casper, 
Wyo. ,  from  500  watts  to  1  KW  day  and  night. 

Also  WIBA,  Madison,  Wis.,  to  5  KW  night  and  day;  WORC, 
Worcester,  Mass.,  from  500  watts  to  I  KW;  KLS,  Oakland,  Calif.,  from 
250  watts  to  1  KW;  WRR,  Dallas,  Texas,  from  500  watts  to  5  KW;  WDOD, 
Chattanooga,  Tenn. ,  from  1  to  5  KW  night  (now  has  5  KW  LS) ;  KFBB, 
Great  Falls,  Mont.,  from  1  to  5  KW,  night;  KGIO,  Mason  City,  la., 
from  100  watts  night,  250  watts  LS,  to  1  KW  unlimited. 

Station  KCMO,  Kansas  City,  has  made  application  to  the 
FCC  to  change  power  from  1  KW  night,  5  KW  day  to  5  KW  day  and  night. 

Construction  permits  for  new  stations  have  been  granted 
to  Batavia  Broadcasting  Corp. ,  Batavia,  N.  Y. ,  1500  kc.,  250  watts 
power,  unlimited  time;  Capitol  Broadcasting  Corp.,  Indianapolis,  Ind 
on  1280  kc. ,  with  power  of  1  KW  night,  5  KW  day,  unlimited  time, 
employing  directional  antenna  at  night;  Brown  County  Broadcasting 
Co.,  Brownwood,  Tex.;  to  operate  on  1350  kc.,  500  watts,  unlimited 
time;  Capital  Broadcasting  Co.,  Washington,  D.  C. ,  on  1490  kc. ,  250 
watts,  unlimited;  The  Maryland  Broadcasting  Co. ,  Baltimore,  Md. ,  on 
1200  kc. ,  250  watts,  unlimited  time;  Nueces  Broadcasting  Co.,  Corpus 
Christi,  Tex.,  on  1500  kc.,  250  watts,  unlimited  time. 

Applications  have  been  received  for  a  new  station  from  the 
Natchez  Broadcasting  Co. ,  Natchez,  Miss. ,  to  be  operated  on  1500  kc. 
250  watts;  Monroe  B.  England,  North  Adams,  Mass.,  to  be  operated  on 
1500  kc.,  250  watts,  unlimited  time;  Richard  Field  Lewis,  Jr., 
Winchester,  Va. ,  to  be  operated  on  1370  kc . ,  250  watts,  unlimited 
time . 


Construction  permits  have  been  granted  for  new  relay 
broadcasting  stations  the  Anarillo  Broadcasting  Corp. ,  Amarillo, 
Tex.,  Loyola  University,  New  Orleans,  La.,  and  Racine  Broadcasting 
Corp.,  Racine,  Wis. 

Applications  for  new  high  frequency  broadcast  stations 
have  been  received  by  the  FCC  from  Metropolitan  Television  Inc. , 

New  York,  N.  Y. ,  The  Yankee  Network,  Inc.,  Boston,  Mass.,  and  Rock¬ 
ford  Broadcasters,  Inc.,  Rockford,  Ill. 


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11/8/40 


SEES  COLOR  TELEVISION  TEST  NEW  ADVERTISING  ERA  PEEPHOLE 


Seeing  it  from  the  significant  viewpoint  of  the  retail 
department  store,  Ira  A.  Hirschmann,  Vice-President  of  Bloomingdale's 
one  of  the  largest  establishments  in  New  York  City,  expresses  the 
greatest  enthusiasm  for  color  television  and  believes  it  will  bring 
a  new  era  in  retail  advertising. 

"A  month  ago,  in  the  small,  dark  laboratories  on  the 
fifth  floor  of  the  Columbia  Broadcasting  System  building  in  New 
York,  I  sat  with  a  group  of  gentlemen  who  were  huddled  together  in 
front  of  two  television  sets",  Mr.  Hirschman  writes  in  The  Depart¬ 
ment  Store  Buyer.  "The  sets  were  identical  in  appearance,  but 
there  the  similarity  ended,  as  I  was  soon  to  discover. 

"A  hand  reached  up  and  pulled  on  the  electric  cord,  and 
the  laboratory  was  plunged  into  darkness.  Behind  a  table  against 
the  wall  the  soft,  precisely  accented  English  of  a  man's  voice 
gave  instructions  to  begin  and  upon  the  screens  of  both  sets  appear¬ 
ed  the  same  title:  ’Color  Television'. 

"But  the  titles  might  as  well  have  been  in  different  lang¬ 
uages,  the  screen  on  the  left  might  better  have  shown  Sanskrit  writ¬ 
ings  or  Babylonian  hieroglyphs  from  that  point  on.  For  on  the 
screen  at  the  right,  following  in  exciting  succession  -  and  in  full 
color  -  were  a  series  of  pictures  of  luxurious  flowers,  of  laughing 
girls,  of  gliding  sailboats,  of  striking  fashions  -  all  the  rich 
true  colors  first  given  them  by  nature.  .  .  and  returned  to  them 
once  again,  in  their  brilliant  and  vivid  shades,  by  color  televi¬ 
sion. 

"I  can't  begin  to  tell  you  how  impressive  the  colors  were, 
and  how  much  they  added  to  the  clarity  and  impact  of  the  pictures. 
This  was  sharpened  by  the  contrast  with  exactly  the  same  picture  on 
the  other  set  shown  in  black  and  white. 

"From  the  moment  the  light  went  out  in  the  room,  our  atten¬ 
tion  was  divided  between  the  two  sets  at  first,  gradually  became 
focused  on  the  color  television  set.  The  dull  gray  and  black  and 
white  pictures  on  the  left,  being  shown  simultaneously  with  the 
color  films,  seemed  almost  to  characterize  its  sudden  antiquity, 
its  rather  out-moded  usefulness,  its  immediate  obsolescence,  next 
to  the  young,  arrogant  reds,  deep  blues  and  yellows  of  the  color 
movies. 


"So  here  was  a  revolution  done  so  quietly  that  it  was  not 
until  much  later  that  the  full  effect  of  the  implications  of  this 
'new  world'  became  evident.  We  who  had  nodded  our  heads  in  some¬ 
what  bewildered  agreement  as  to  the  method's  faithfulness  in  trans¬ 
mitting  color,  and  its  clarification  of  minor  detail  agreed:  'most 
amazing  thing  I've  seen  in  years.  By  God,  it  works.1' 

"The  truly  significant  result  of  that  showing,  in  my 
opinion,  lies  in  the  simple  fact  that  full  color-in-action  can  now 
be  transmitted  over  the  air,  and  over  wires.  That  which  has  been 

-  8  - 


11/8/40 


talked  about  as  a  raillenium  in  communication  and  promotion  is  sud- 
dently  here.  And  that  should  be  cause  for  rejoicing,  especially 
for  retailers. 

"For  radio,  as  we  know  it  today,  with  its  prodigious  suc¬ 
cess  in  selling  goods  for  manufacturers  has  never  quite  been  able 
to  make  the  grade  for  the  retailer.  I  blame  this  on  the  retailer' s 
inability  to  learn  how  to  use  it.  Others  see  in  the  vocal  message 
alone  a  barrier  which  sight  of  goods  alone  can  overcome. 

"Whatever  the  reason,  here  was  the  answer  incontrovertible, 
right  in  front  of  my  eyes.  For  seeing  is  believing,  and  the  colors 
and  fabrics  and  active  use  of  goods  could  be  seen  in  motion  through 
this  miracle  revelation. 

"One  hesitates  to  make  prophecies,  especially  in  times 
like  these.  But  if  this  is  not  the  peep-hole  to  the  new  world  in 
retail  advertising,  I  will  be  greatly  mistaken.  For  unquestionably, 
bringing  the  feel  and  color  and  active  use  of  merchandise  into  the 
home  with  focused  interest  shou?.d  revolutionize  the  art  of  selling 
and  propaganda . 

"To  those  of  us  in  the  retail  trade,  there  is  more  of 
importance  in  this  successful  transmission  of  color  by  radio  than 
any  previous  news  of  the  imminence  of  television. 

"As  a  department  store  retailer,  our  interest  in  this 
development  should  be  boundless.  The  sudden  opening  of  an  entirely 
new  vista  of  ether  advertising,  in  which  not  only  are  our  garments, 
our  furnishings  and  equipment,  our  every  product  able  to  be  shown 
the  consumer  in  black  and  white  picture s ,* but  the  added  value  of 
showing  those  products  in  their  original  true  colors,  will  bring  a 
new  advertising  era  to  the  retailer. 

"As  a  consumer  your  interest  in  that  addition  to  your 
entertainment  can  be  estimated  in  financial  tersm.  It  is  estimated 
that  it  will  cost  but  thirty  dollars  extra  to  equip  a  standard 
($300)  television  receiving  set  with  this  attachment.  A  small 
figure  for  unlimited  improvement  in  entertainment. 

"All  this,  of  course,  is  in  the  future.  The  transmission 
of  color  films  has  been  accomplished,  but  the  next  and  greater  steps, 
as  I  have  said,  are  ahead. 

"Color  television  actually  is  now  in  the  fourth  of  five 
stages  of  laboratory  development.  The  first  was  application  of  the 
optical  and  electronic  formula  to  the  practical  problem,*  the  second 
involved  joining  of  motion  to  color;  third  was  adaption  of  a  stand¬ 
ard  black-and-white  television  receiver  with  a  nine-inch  tube  to 
receive  color,  and  fourth,  an  actual  test  of  the  color  system  on 
the  air. 

"Work  on  this  problem  is  being  carried  on,  and  it  is  hoped 
that  before  January  1st  'live*  pick-ups  will  have  been  successfully 
demonstrated.  This  phase  of  the  work  may  require,  however,  the 
development  of  pick-up  tubes  not  yet  available,  and  may  therefore 
require  the  cooperation  of  manufacturers  who  specialize  in  this  field. 

XXXXXXXXX 

NOTE  -  DUE  TO  THE  FACT  THAT  THE  GOVERNMENT  OFFICES  ARE  TO  BE 
CLOSED  ON  ARMISTICE  DAY,  THERE  WILL  BE  NO  ISSUE  OF  THE  HEINL  SERVICE 
ON  TUESDAY,  NOVEMBER  12. 


xxxxxxxxxxxx 

-  9  - 


11/8/40 


NO  ELECTION  DILLY-DALLYING  FOR  DILL 


Former  Senator  Clarence  C.  Dill,  Democrat,  co-author  of 
the  Dill- White  radio  law,  and  for  years  one  of  the  leading  radio 
legislators  in  the  Capitol,  met  with  the  fiercest  opposition  in 
his  entire  career,  and  possibly  defeat  in  his  fight  for  Governor 
of  the  State  ofWashington.  He  ran  against  Mayor  Arthur  B.  Langlie, 
Republican,  Mayor  of  Seattle. 

According  to  latest  reoorts  with  only  44  precincts  missing, 
Mayor  Langlie 1 s  vote  was  373,483,  and  Senator  Dill's  371,372.  Mr. 
Dill  had  previously  served  two  terns  in  Congress  and  two  in  the 
Senate . 


XXXXXXXXX 

SEES  FCC  TRYING  TO  FAVOR  LEWIS 


Alan  Barth  writes  in  the  McClure  Newspaper  Syndicate: 

''John  L.  Lewis  has  lodged  a  vigorous  protest  with  the 
Federal  Communications  Commission  against  the  refusal  of  radio 
station  KYA,  San  Francisco,  to  renew  a  broadcasting  contract  held 
for  the  past  two  years  by  the  C.I.O.  Despite  Lewis'  recent  radio 
blast  at  F.D.R.  and  the  New  Deal,  FCC  insiders  reveal  that  they're 
doing  all  they  can  to  back  him  up. 

"The  radio  station  has  ducked  out  of  carrying  the  C.I.O. 
program  on  the  ground  that  it's  controversial  and  therefore  banned 
from  purchased  time  by  the  code  of  the  National  Association  of 
Broadcasters.  Despite  a  public  statement  by  FCC  officials  that 
the  agency  has  no  power  to  interfere  in  such  a  situation,  some  of 
the  Commission's  top  legal  sharps  are  trying  earnestly  to  find  some 
way  of  keeping  the  labor  program  on  the  air.  It's  a  test  case  and 
if  the  KYA  ruling  prevails,  the  labor  point  of  view  is  liable  to  be 
barred  by  all  stations. 

"Those  in  sympathy  with  Lewis'  protest  point  out  that  pre¬ 
sentation  of  the  employers'  point  of  view  in  broadcasts  must  be 
equally  controversial.  To  be  logical,  stations  ought  to  ban  also 
the  Ford  Sunday  Hour,  for  example,  which  presents  a  talk  on  industry 
by  William  J.  Cameron.  If  stations  won't  sell  radio  time  to  labor, 
they  may  be  required  to  give  it  gratis  as  one  side  of  a  controversial 
picture.  " 


XXXXXXXXXX 


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11/8/40 


: :  TRADE  NOTES 


The  Federal  Communications  Commission  has  granted 
Station  WMBG  in  Richmond,  Va.  ,  a  license  to  cover  a  construction 
permit  which  authorized  installation  of  new  auxiliary  transmitter 
and  increase  in  power  to  1  KW,  for  emergency  use  only,  directional 
antenna  day  and  night,  1350  kilocycles. 


Listeners  in  the  Greenwood  and  Jackson  areas  of  Mississ¬ 
ippi  are  receiving  increased  service  with  the  addition  of  Station 
WGRM,  Greenwood  and  WSLI,  Jackson,  as  members  of  the  NBC  Blue 
Southern  group.  This  makes  a  total  of  206  NBC  affiliates. 


Station  W2XWV,  Allen  B.  Dumont  Labs. ,  Inc. ,  New  York  City, 
has  been  granted  extension  of  special  temporary  authority  to  oper¬ 
ate  a  50-watt  television  transmitter  on  frequencies  60000-86000 
kc. ,  for  the  period  Nov.  10  to  Dec.  9,  in  order  to  conduct  field 
tests. 


Dr.  Thomas  F.  Anderson,  University  of  Wisconsin  Chemistry 
instructor,  has  been  named  by  a  committee  of  distinguished  scient¬ 
ists  to  receive  the  RCA  Electron  Microscope  Fellowship.  Dr.  Ander¬ 
son,  a  native  of  Manitowoc,  Wis. ,  took  his  Bachelor  of  Science 
degree  at  the  California  Institute  of  Technology  in  1932. 

In  collaboration  with  the  RCA  Fellowship  Committee,  by 
whom  he  was  appointed,  Dr.  Anderson  is  devoting  a  year  to  research 
with  the  electron  microscope  which  was  recently  developed  in  the  RCA 
research  laboratories,  and  has  now  been  made  available  for  research 
workers  in  every  field.  With  the  new  electron  microscope,  it  is 
possible  to  obtain  useful  magnification  of  objects  up  to  100,000 
diameters.  With  optical  microscopes  the  useful  magnif ica tion  of 
objects  is  limited  to  1500  diameters  with  ordinary  light,  and  to 
2500  diameters  with  ultra-violet  light. 


After  operating  an  amplitude  modulated  emergency  communi¬ 
cations  system  for  five  years,  the  City  of  Nashville  has  ordered  a 
complete  FM  system  from  the  General  Electric  Company. 


A  WMCA  engineer  got  seasick  the  other  day  climbing  up  the 
325-foot  tower  of  WMCA 1 s  new  antenna  system  at  Kearny,  N.  J.  ,  to 
check  the  pilot  beacon  wnich  is  used  to  warn  approaching  aircraft. 
The  towers  (there  are  three  of  them)  have  a  two-foot  sway  and  are 
built  to  resist  winds  of  hurricane  velocity.  Each  weighs  approxi¬ 
mately  48,000  pounds  and  rests  on  insulators  weighing  75  pounds. 

XXXXXXXXX 


11  - 


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7000  AT  WG-Y  FARM  FORUM 


Rural  electrification,  improved  roads  and  other  advances 
make  the  farmer  of  today  happier  than  the  farmer  of  1925,  speakers 
told  7000  persons  at  the  fifteenth  anniversary  celebration  of  the 
WGY  Farm  Forum,  a  pioneer  General  Electric  radio  program,  in 
Schenectady,  N.Y.,  held  recently. 

The  crowd  paid  its  way  to  the  event  by  bringing  five  tons 
of  food,  mostly  potatoes  and  apples,  for  donation  to  State  charities. 

‘'When  the  problems  of  rural  electrification  were  first 
projected  on  this  program",  said  CharlesE.  Wilson,  President  of 
General  Electric,  "it  is  estimated  that  there  were  approximately 
205,000  electrified  farms  in  the  United  States.  Today  estimates 
range  from  1,800,000  to  2,000,000. 

"But  important  as  its  part  has  been,  electrification  has 
been  only  one  element  contributing  to  the  betterment  of  farm  living 
and  to  the  advancement  of  agriculture.  During  the  past  fifteen 
years  and  notwithstanding  the  disastrous  effects  of  depression  and 
a  world  at  war,  both  agriculture  and  industry  have  made  advances, 
each  to  the  advantage  of  the  other.  We  all  know  that  there  is  much 
more  progress  to  come." 

Wheeler  McMillen,  editor  of  the  Farm  Journal  and  Farmer's 
Wife,  said  fifteen  times  as  many  farmers  have  radio  sets  as  in  1925, 
and  that  a  million  more  automobiles  are  owned  by  farmers. 

Niles  Trammell,  President  of  the  National  Broadcasting 
Company,  explained  how  radio  has  helped  end  rural  isolation  and 
predicted  that  with  television  "the  possibilities  of  service  will 
increase  and  the  link  between  city  and  farm  which  radio  has  forged 
through  the  air  will  become  even  stronger. " 

Other  speakers  were  Frank  E.  Mullen,  NBC  Vice  President; 

Dr.  Hugh  P.  Baker,  President  of  Massachusetts  State  College;  Jared 
Van  Wagenen,  Jr.,  Lawyersville ,  N.Y. ,  and  Ed  W.  Mitchell  of  WGY. 
Greetings  were  received  from  President  Roosevelt,  Governor  Lehman 
of  New  York,  Governor  Aiken  of  Vermont,  the  Secretary  of  Agricul¬ 
ture,  and  others. 

Emerson  Markham,  in  charge  of  General  Electric's  agricul¬ 
tural  broadcasting,  and  his  staff  welcomed  the  crowd.  After  con¬ 
tributing  their  own  food  to  charity,  the  7000  visitors  were  luncheon 
guests  of  General  Electric. 

The  program  included  demonstrations  of  television,  fre¬ 
quency  modulation,  radio  transmission,  and  the  latest  farm  electri¬ 
cal  equipment. 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  NOVEMBER  15,  1940 


New  Defense  Communications  Board  Set-Up  Explained . 2 

Monopoly  Report  Deadline  Passed . 5 


How  About  Giving  Radio  A  Cabinet  Post? . 6 

Say  ASCAP  Fight  May  Continue  Beyond  Jan.  1 . 7 

Says  U.  S.  Programs  To  S.  A.  Miss  Mark.  . 

MCA  Starts  Radio  Classified  Ads . 

Ship  And  Coastal  Service  Rules  Clarified 

Trade  Notes . 9 

Will  Rogers  Was  Not  Happy  With  Radio . 10 

New  Million  Dollar  NBC  San  Francisco  Building . 11 

Gen.  Johnson  On  Risky  List? . 11 

"Direct  Pick-Up"  In  Color  Television  Achieved  At  CBS . 12 

Pillow  Speaker  Worries  Nazis . 12 


No.  1282 


co  co  co 


NEW  DEFENSE  COM MUNI CATIONS  BOARD  SET-UP  EXPLAINED 


Detailed  information  has  just  been  given  out  explaining 
the  duties  of  the  Defense  Communications  Board  and  its  various  sub¬ 
committees.  The  four  main  Committees  -  Law,  Coordinating,  Labor 
Advisory  and  Industry  Advisory  -  will  report  direct  to  the  Board 
whose  members  are: 

Chairman  -  James  Lawrence  Fly,  Chairman  of  the  Federal 
Communications  Commission;  Major  Gen.  Joseph  0.  Mauborgne,  Chief 
Signal  Officer  of  the  Army;  Rear  Admiral  Leigh  Noyes,  Director  of 
Naval  Communications;  Hon.  Breckenridge  Long,  Assistant  Secretary 
of  State  in  Charge  of  the  Division  of  International  Communications; 
Secretary  -  Herbert  E.  Gaston,  Assistant  Secretary  of  the  Treasury 
in  Charge  of  the  Coast  Guard. 

The  duties  of  the  Coordinating  Committee  include  assist¬ 
ance  to  the  Board  in  planning" and  coordinating  work.  It  will  main¬ 
tain  liaison  with  the  Law  Committee,  Labor  Advisory  Committee  and 
Industry  Advisory  Committee,  for  the  purposes  of  advice  and  consul¬ 
tation  and  will  supervise  the  work  of  the  other  committees,  which 
will  report  directly  to  it.  Its  members  are:  Chairman,  E.  K.  Jett, 
Chief  Engineer,  Federal  Communications  Commission;  Francis  C.  deWolf, 
State  Department;  Maj.  W.  T.  Guest,  War  Department;  Commander  Earl  E. 
Stone,  Navy  Department  and  Commander  J.  F.  Farley,  Chief  of  Communi¬ 
cations,  U.  S.  Coast  Guard,  Treasury  Department. 

The  duties  of  the  Law  Committee  Include  the  furnishing  of 
legal  opinions  and  advice,  and  the  drafting  of  final  reports  and 
recommendations,  proposed  Executive  Orders,  proclamations,  and 
legislation.  The  Law  Committee  will  report  directly  to  the  Board 
but  will  have  liaison,  for  purposes  of  advice  and  consultation,  with 
the  Coordinating  Committee,  and,  as  may  be  necessary,  with  other 
committees.  Its  members  are:  Chairman,  Telford  Taylor,  General 
Counsel  of  the  Federal  Communications  Commission;  Capt.  J.  W. 

Huyssoon,  Office  of  the  Judge  Advocate  General,  War  Department; 

Steven  Spingarn,  Treasury  Department;  Lt.  Comdr.  Franz  0.  Willen- 
bucher,  Navy  Department  and  Raymund  T.  Yingling,  State  Department. 

The  duties  of  the  Labor  Advisory  Committee  include  the 
submission  of  expert  advice  to  the  Board  on  all  labor  problems  inci¬ 
dent  to  the  proper  carrying  out  of  its  national  defense  mission. 

With  the  requirements  of  national  defense  as  a  primary  consideration, 
the  Labor  Advisory  Committee  will  submit  recommendations  to  the  Board 
on  such  problems  as  are  referred  to  it  by  the  Board.  The  Labor  Com¬ 
mittee  will  report  directly  to  the  Board  but  will  have  liaison  for 
the  purpose  of  advice  and  consultation  with  the  Coordinating  Com¬ 
mittee  and  the  Industry  Advisory  Committee.  Its  membership  is  to 
be  designated  later. 


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The  duties  of  the  Industry  Advisory  Committee  include  the 
submission  of  expert  advice  to  the  Board  on  all  problems  of  general 
concern  to  the  communications  companies  incident  to  the  proper  carry¬ 
ing  out  of  the  Board's  national  defense  mission.  With  the  require¬ 
ments  of  national  defense  as  a  primary  consideration,  the  Industry 
Advisory  Committee  will  submit  recommendations  to  the  Board  on  such 
problems  as  are  referred  to  it  by  the  Board.  The  Industry  Advisory 
Committee  will  report  directly  to  the  Board  but  will  have  liaison 
for  the  purpose  of  advice  and  consultation  with  the  Coordinating 
Committee  and  the  Labor  Advisory  Committee.  Its  membership  will 
be  designated  later. 

There  are  eleven  additional  Committees  which  all  work 
under  the  Coordinating  Committee.  They  are  Amateur  Radio,  Aviation 
Radio,  Cable,  Domestic  Broadcasting,  Interdepartment  Radio  Advisory, 
International  Broadcasting,  Radio communications,  State  and  Municipal 
Facilities,  Telegraph,  Telephone,  and  United  States  Government 
Facilities.  As  yet  the  members  of  these  Committees  have  not  been 
appointed  but  it  is  expected  that  this  will  be  done  within  a  couple 
of  weeks.  The  size  of  the  Committees  will  vary  -  all  the  way  from 
5  to  20  members  may  be  necessary. 

The  duties  of  the  Amateur  Radio  Committee  will  include 
the  study  of  all  phases  of  amateur  radio  facilities.  With  the 
requirements  of  national  defense  as  a  primary  consideration,  the 
committee  shall  recommend  precautions  and  restrictions  with  respect 
to  amateur  radio  operations  under  various  emergency  conditions,  and 
the  allocation  of  such  amateur  facilities  as  may  be  required  by  the 
Army  or  the  Navy. 

The  duties  of  the  Aviation  Radio  Committee  will  include 
the  study  of  all  phases  of  domestic  and  international  civil  aviation 
radio  facilities  and  communications  services  associated  therewith. 

It  will  have  liaison  with  the  U.  S.  Government  Facilities  Committee 
and  the  State  and  Municipal  Facilities  Committee.  With  the  require¬ 
ments  of  national  defense  as  a  primary  consideration,  the  Committee 
shall  recommend  plans  for  the  most  efficacious  use  of  all  of  these 
facilities  in  time  of  military  emergency,  giving  due  consideration  to 
the  needs  of  other  governmental  agencies,  of  industry,  and  of  other 
civilian  activities. 

The  duties  of  the  Cable  Committee  include  the  study  of 
all  phases  of  submarine  cable  communications  facilities  used  in  the 
international  or  overseas  service.  With  the  requirements  of  national 
defense  as  a  primary  consideration,  the  Committee  shall  recommend 
plans  for  the  most  efficacious  use  of  all  of  these  facilities  in 
time  of  military  emergency,  giving  due  consideration  to  the  needs 
of  other  governmental  agencies,  of  industry,  and  of  other  civilian 
activitie  s. 

The  duties  of  the  Domestic  Broadcasting  Committee  will 
include  the  study  of  the  physical  aspects  of  domestic  standard 
broadcasting  and  formulation  of  recommendations  of  such  precautions, 
supplementary  facilities  and  reallocations  as  it  shall  deem  desir¬ 
able  under  foreseeable  military  conditions.  It  shall  also  consider 


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other  domestic  broadcasting  systems  including  relay  broadcasting, 
high  frequency  (FM)  broadcasting,  television,  facsimile  broadcasting 
and  experimental  broadcasting.  The  Committee's  work  in  all  of  these 
fields  will  include  recommendations  for  the  speedy  and  efficacious 
use  in  time  of  military  emergency  of  all  necessary  domestic  broad¬ 
casting  facilities  and  communications  services  associated  therewith, 
with  the  requirements  of  the  national  defense  as  a  primary  consider¬ 
ation. 

The  duties  of  the  Interdenartment  Radio  Advisory  Committee 
will  include  making  special  studies  and  recommendations  regarding 
frequency  allocations,  with  the  requirements  of  national  defense 
as  a  primary  consideration  but  giving  due  consideration  to  the  needs 
of  governmental  agencies,  of  industry,  and  of  other  civilian  activi¬ 
ties.  This  Committee  will  be  made  up  of  the  existing  members  of 
the  Interdepartmental  Radio  Advisory  Committee.  The  Committee  is 
designated  under  the  provisions  of  Paragraphs  5  and  7,  but  without 
reference  to  Paragraph  8  of  the  President's  Executive  Order  of 
September  24,  1940,  re  creating  the  defense  communications  board 
and  defining  its  functions  and  duties. 

The  duties  of  the  International  Broadcasting  Committee 
will  include  the  study  of  all  phases  of  international  broadcasting 
and  the  formulation  of  recommenda.tions  concerning  such  precautions, 
supplementary  facilities  and  reallocations  as  it  shall  deem  desir¬ 
able  under  foreseeable  military  conditions.  With  the  requirements 
of  national  defense  as  a  primary  consideration,  it  shall  also  recom¬ 
mend  plans  for  the  speedy  and  efficacious  use  of  all  necessary 
international  broadcasting  facilities  in  time  of  military  emergency 
giving  due  consideration  to  the  needs  of  other  governmental  agencies, 
of  industry,  and  of  other  civilian  activities. 

The  duties  of  the  Radio  communications  Committee  will  in<* 
elude  the  study  of  all  phases  of  domestic  and  international  radio¬ 
telegraph  and  radiotelephone  communications  facilities  (including 
mobile  and  fixed  services)  except  aviation,  amateur,  Federal,  State, 
and  Municipal  communications  facilities.  With  the  requirements  of 
national  defense  as  a  primary  consideration,  the  Committee  shall 
recommend  plans  for  the  most  efficacious  use  of  all  of  these  facil¬ 
ities  in  time  of  military  emergency,  giving  due  consideration  to 
the  needs  of  other  governmental  agencies,  of  industry,  and  of  other 
civilian  activities. 

The  duties  of  the  State  and  Municipal  Facilities  Committee 
will  include  the  study  of  all  phases  of  State  and  Municipal  communi¬ 
cations  facilitie  s,  including  Municipal  and  State  Police  Radio  Sta¬ 
tions,  Inter-City  Police  Radio  Stations,  State  Forestry  Radio  Sta¬ 
tions,  Marine  Fire  Radio  Stations,  and  State  and  municipally  owned 
or  leased  wire  facilities.  With  the  requirements  of  national  defense 
as  a  primary  consideration,  the  committee  shall  recommend  plans 
for  the  most  efficacious  use  of  all  of  these  facilities  in  time  of 
military  emergency,  giving  due  consideration  to  the  needs  of  other 
governmental  agencies  of  industry,  and  of  other  civilian  activities. 


4 


11/15/40 


The  duties  of  the  Telegraph  Committee  will  include  the 
study  of  all  phases  of  landline  record  communications,  both 
domestic  and  connecting  international  landline  services  and  facil¬ 
ities  (except  federally  owned  facilities)  including  leased  line, 
teletypewriter  exchange,  wire  photo  and  facsimile  services  and 
facilities.  With  the  requirements  of  national  defense  as  a  primary 
consideration,  the  Committee  shall  recommend  plans  for  thefaiost 
efficacious  use  of  all  of  these  services  and  facilities  in  time  of 
military  emergency,  giving  due  consideration  to  the  needs  of  other 
governmental  agencies,  of  industry,  and  of  other  civilian  activities 

The  duties  of  the  Telephone  Committee  will  include  the 
study  of  all  chases  of  landline  telephone  communications,  both 
domestic  and  connecting  international  landline  and  submarine  cable 
telephone  services  and  facilities  (except  federally  owned  facilities 
With  the  requirements  of  national  defense  as  a  primary  consideration 
the  Committee  shall  recommend  plans  for  the  most  efficacious  use  of 
all  of  these  services  and  facilities  in  time  of  military  emergency, 
giving  due  consideration  to  the  needs  of  other  governmental  agencies 
of  industry,  and  of  other  civilian  activities. 


The  duties  of  the  United  States  Government  Facilities 
Committee  will  include  the  study  of  all  phases  of  non-military 
governmental  communications  facilities  with  a  view  to  possible  mili¬ 
tary  use  and  the  coordination  of  these  facilities  including  wire, 
cable  and  radio  facilities  owned  or  leased  for  government  operation, 
with  communications  facilities  of  the  Army,  Navy,  and  Coast  Guard. 
With  the  requirements  of  national  defense  as  a  primary  consideration 
the  committee  shall  recommend  plans  for  the  most  efficacious  use  of 
all  of  these  facilities  in  time  of  military  emergency,  giving  due 
consideration  to  the  needs  of  other  governmental  agencies,  of 
industry,  and  of  other  civilian  activities. 


The  Labor  Advisory  Committee  will  consider  labor  problems 
which  pertain  to  communications  in  the  national  defense  and  will 
not  be  a  substitute  for  unions  or  federal  agencies  handling  labor 
problems.  The  Defense  Communications  Board  is  at  present  operating 
without  funds.  Having  been  successful  in  doing  this  up  to  now,  it 
hopes  it  will  not  require  any  in  the  future. 


xxxxxxxxx 

MONOPOLY  REPORT  DEADLINE  PASSED 


Extending  the  final  date  for  the  filing  of  briefs  on  the 
Monopoly  report  from  Wednesday,  November  11,  to  today  (Friday, 
November  15),  Chairman  James  L.  Fly  said  that  there  would  be  no 
further  extension. 


Oral  argument  in  this  investigation  by  the  FCC  of  chain 
broadcasting  will  be  held  Tuesday  and  Wednesday,  December  2nd  and 
3rd. 


XXXXXXXXXXX 
-  5  - 


11/15/40 


HOW  ABOUT  GIVING  RADIO  A  CABINET  POST? 


In  view  of  the  fact  that  newspaper  efforts  are  rewarded 
and  that  it  has  long  been  the  custom  to  appoint  newspaper  men  to 
high  positions,  notably  in  the  present  administration  -  Frank  Knox, 
publisher  of  the  Chicago  Daily  News ,  Secretary  of  the  Navy,  and 
Josephus  Daniels,  North  Carolina  newspaper  publisher,  Ambassador 
to  Mexico  -  it  would  seem  appropriate  that  radio  up  to  now  unreward¬ 
ed,  might  well  be  recognized.  President  Roosevelt,  noted  for  break¬ 
ing  precedents,  might  even  appoint  someone  from  the  radio  industry 
to  the  Cabinet.  If  so,  he  would  have  a  large  field  of  competent 
men  to  draw  upon. 

Mr.  Roosevelt  might  select  Commander  E.  F.  McDonald,  Jr.  , 
of  Chicago,  as  Secretary  of  the  Navy.  Explorer  and  long  in  the 
Naval  Reserve,  one  of  the  best  known  yachtsmen  in  the  country, 
Commander  McDonald,  though  a  radio  manufacturer,  was  the  organizer 
and  first  president  of  the  National  Association  of  Broadcasters. 

Gen.  James  G.  Harbord,  who  was  the  Chief  of  Staff  with  General 
Pershing  in  France,  would  make  an  A-No.  1  Secretary  of  War. 

David  Sarnoff,  President  of  the  Radio  Corporation  of 
America,  would  fit  in  very  well  either  as  Secretary  of  Commerce  or 
Secretary  of  the  Treasury.  The  same  would  go  for  Sosthenes  Behn, 
President  of  the  International  Telephone  &  Telegraph  Company.  Niles 
Trammell,  President  of  the  National  Broadcasting  Company,  would 
make  an  excellent  Postmaster  General.  For  Attorney  General,  the 
President  would  have  the  choice  of  at  least  three  noted  radio 
lawyers  -  Thomas  P.  Littlepage,  of  Washington,  Judge  A.  L.  Ashby., 
Vice-President  and  General  Counsel  of  the  National  Broadcasting 
Company,  and  Louis  G.  Caldwell,  of  Washington,  former  Radio  Commis¬ 
sion  Chief  Counsel. 

Alfred  H.  McCosker,  President  of  the  Mutual  Broadcasting 
System,  would  be  another  live  wire  for  the  Postmaster  General  and 
Donald  Flamm,  of  WMCA,  could  make  things  pretty  lively  around  the 
Department  of  Commerce.  Powel  Crosley,  Jr.  ,  Cincinnati  radio  manu¬ 
facturer,  broadcasting  and  baseball  magnet,  and  William  F.  Paley, 
President  of  the  Columbia  Broadcasting  System,  would  be  splendid 
additions  to  our  Diplomatic  service  -  London,  say,  or  Japan. 

It  would,  indeed,  be  fitting  to  send  Frank  C.  Page,  Vice 
President  of  the  International  Telephone  &  Telegraph  Company,  to 
Great  Britain  for  the  post  held  during  the  World  War  by  his  dis¬ 
tinguished  father,  the  late  Walter  Hines  Page. 

Harry  C.  Butcher,  Vice-President  of  CBS  and  Frank  M. 
Russell,  Vice-President  of  NBC,  Washington  representatives  of  their 
respective  networks,  would  likewise  be  splendid  timber  for  high 
office.  Probably  no  two  men  in  the  country  are  more  familiar  with 
what  goes  on  behind  the  scenes  in  the  National  Capital  than  they. 


XXXXXXXXX 


6 


hi  ■  '  ... .i':- 


11/15/40 


SAY  ASCAP  FIGHT  MAY  CONTINUE  BEYOND  JAN.  1 


It  is  predicted  that  the  fight  between  the  National 
Association  of  Broadcasters  and  the  American  Society  of  Composers 
will  go  right  on  up  to  the  dead-line  of  December  31st  and  maybe 
longer. 

"If  it  does,  the  responsibility  lies  with  the  broad¬ 
casters",  E.  C.  Mills,  Chairman  of  the  Administrative  Committee  of 
ASCAP,  who  was  in  Washington  last  week,  declared.  "The  Composers 
stand  willing,  ready  and  anxious  to  negotiate  at  any  time,  any 
place,  anywhere  with  anybody  on  any  basis. " 

Mr.  Mills  charged  that  the  National  Association  of  Broad¬ 
casters’  participation  was  simply  a  smoke-screen. 

"The  issue  is  between  ASCAP  and  the  networks  which  have 
never  paid  a  cent  to  the  Composers.  The  issue  is  not  between  ASCAP 
and  the  independent  broadcasting  stations  for  whom  the  new  formula 
substantially  reduces  the  rate  to  be  paid.  These  stations  would 
not  have  to  pay  anything  at  all  on  network  broadcasts.  We  are 
merely  trying  to  put  the  burden  where  the  burden  ought  to  be  -  on 
the  shoulders  of  the  people  getting  the  big  money.  The  issue  is  so 
simple  that  the  broadcasters  can’t  permit  it  to  be  simple  but  must 
make  it  appear  complicated  or  else  there  would  be  nothing  to  argue 
about.  " 

Asked  if  he  intended  to  lodge  complaints  in  Washington 
because  the  broadcasters’  "blacked  out"  the  recent  ASCAP  Music 
Festival,  which  was  not  broadcast  by  any  station  except  WNYC,  the 
Municipal  Station  in  New  York  City,  Mr.  Mills  said: 

"We  do  not  plan  any  protest  to  the  Federal  Communications 
Commission.  We  are  not  going  to  make  any  protests  either  in  refer¬ 
ence  to  the  failure  of  the  broadcasters  to  pick  up  the  ASCAP  pro¬ 
gram  at  the  San  Francisco  Fair,  or  at  the  Fair  here.  In  both 
cases  the  public  was  deprived  of  the  opportunity  to  hear  programs 
such  as  are  never  presented  under  any  other  auspices,  and  which  will 
perhaps  never  be  heard  again. 

"These  events  speak  for  themselves,  and  an  accumulation 
of  them  is  gathering  such  as  I  personally  believe  will  some  day 
very  seriously  embarrass  the  men  who  are  so  short-sighted  as  to  use 
their  radio  facilities,  and  misuse  their  radio  franchise  in  such  a 
manner.  " 

It  was  noted  that  Gene  Buck,  President  of  the  American 
Society  of  Composers,  as  usual,  was  the  impressario  at  the  annual 
dinner  given  to  the  President  by  the  National  Press  Club.  In  this 
capacity  at  the  Press  Club  and  elsewhere,  Mr.  Buck  has  become  well 
acquainted  with  President  Roosevelt  and  doubtless  if  the  battle¬ 
ground  between  the  Composers  and  the  broadcasters  were  shifted  to 
Washington,  Mr.  Buck  would  undoubtedly  be  able  personally  to  present 
his  side  of  the  story  to  the  President  if  he  decided  to  do  so. 


XXXXXXXX 


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11/15/40 


SAYS  U.  S.  PROGRAMS  TO  S.  A.  MISS  MARK 


U.  S.  Shortwave  radio  stations  are  taken  for  quite  a 
ride  in  a  detailed  article  by  Ray  Josephs,  Buenos  Aires  corres¬ 
pondent  of  Variety  (November  15  issue)  because  of  alleged  failure 
to  make  satisfactory  progress  in  the  international  short-wave 
battle  with  the  Nazis  and  the  Fascists  to  reach  South  American 
ears.  loir.  Josephs  states  that  many  programs  beamed  to  Latin-Amer- 
ica  by  the  11  United  States  short-wave  stations  are  practically 
meaningless  to  South  America. 

XXXXXXXXXX 


WMCA  STARTS  RADIO  CLASSIFIED  ADS 


A  program  featuring  classified  advertisements  made  its 
debut  in  New  York  radio  over  Station  WMCA  with  the  inauguration  of 
a  daily  series  entitled  "Reward  for  Listening"  last  Thursday 
( November  14) . 

For  the  use  of  small  merchants,  retail  dealers,  real 
estate  agents,  help-wanted  ads,  lost  and  found  announcements,  etc. , 
time  will  be  wold  on  a  wordage  basis. 

xxxxxxxxxxxx 


SHIP  AND  COASTAL  SERVICE  RULES  CLARIFIED 


Substitution  of  the  term  "limited  (governmental)"  for 
"private"  is  involved  in  modification  and  clarification  of  the  rules 
governing  ship  and  coastal  services  by  action  of  the  Federal  Com¬ 
munications  Commission,  to  become  effective  March  1,  1941.  This 
was  prompted  by  the  fact  that  the  word  "private"  does  not  adequately 
describe  such  a  limited  service  station.  A  station  of  this  class 
is  now  restricted  to  use  for  governmental  purposes  and  is  available 
to  Federal,  State,  county  and  municipal  agencies  and  to  other  per¬ 
sons  or  organizations  only  for  the  purpose  of  performing  services 
for  such  governmental  units.  Part  7  (coastal)  and  Part  8  (ship)  of 
the  rules  are  affected. 


Also,  Sections  8.51  and  8.63  of  the  ship  rules  are  chang¬ 
ed,  and  sections  8.72  and  8.73  are  added,  to  permit  more  stringent 
enforcement  of  the  requirements  with  respect  to  the  licensing  and 
operation  of  portable-mobile  telephone  and  telegraph  stations. 


shortly. 


The  rules,  as  revised,  will  appear  in  mimeograph  form 


xxxxxxxx 


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3 


11/15/40 


::  TRADE  NOTES 


The  Bureau  of  Foreign  and  Domestic  Commerce  in  its  "World 
Radio  Markets"  series  has  just  issued  reports  on  Yugoslavia  and 
French  Oceania. 


Station  WJR,  at  Detroit,  went  off  the  air  last  Tuesday 
when  winds  of  the  blizzard  which  swept  the  West  toppled  its  733- 
foot  antenna  tower. 


;>ls_ , 


'As  a  souvenir  of  the  dedication  of  the  new  WEAF  trans¬ 
mitter,  the  NBC  issued  an  8  page  rotogravure  newspaper  supplement 
showing  many  pictures  of  the  station  and  site,  a  pictorial  history 
of  WEAF  and  all  the  stars  that  made  it  famous. 


The  Royal  Canadian  Air  Force  is  seeking  1,000  radio 
mechanics.  Inquiries  of  those  desiring  to  volunteer  may  be  addressed 
to  Royal  Canadian  Air  Force,  Windsor,  Canada. 


Station  WTAG  at  Worcester,  Mass.,  has  applied  to  the 
Federal  Communications  Commission  to  increase  its  cower  to  5  KW. 
Station  WTAR  at  Waterbury,  Conn. ,  desires  to  go  up  to  1  KW. 


Ralph  H.  Langle,  E.E.,  formerly  of  WLW,  at  Cincinnati, 
now  consultant  and  specialist  in  patent  matters,  has  removed  his 
midtown  office  to  50  East  42nd  Street,  New  York  City. 


Monumental  Radio  Company  reports  that  for  the  nine  months 
to  September  30  a  net  income  before  depreciation  and  income  tax 
$141,430,  according  to  figures  filed  with  Securities  and  Exchange 
Commission.  In  1939  company  had  net  income  of  $121,723,  compared 
with  $97,358  net  income  for  1938. 


Henry  L.  Mencken,  Baltimore  columnist,  addressing  the 
Women's  National  Press  Club,  was  quoted  in  the  Washington  Star  as 
saying  that  the  radio  had  a  greater  following  than  the  press. 

"People  don't  read  newspapers  any  more",  Mr.  Mencken  added,  "except 
for  the  comic  strips. " 


Gen.  James  G.  Harbord,  Chairman  of  the  Radio  Corporation 
of  America,  is  leading  the  current  Red  Cross  Roll  Call  in  New  York 
City.  General  Harbord  is  Chairman  of  the  New  York  Chapter  of  the 
Red  Cross. 


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The  American  Tobacco  Company,  by  way  of  backing  up  the 
Broadcasters  in  the  Composers'  fight,  has  discontinued  using 
"Happy  Days  are  Here  Again"  as  a  theme  in  the  "Hit  Parade".  The 
company  has  been  paying  a  New  York  publicity  company  $100  a  w^eek 
for  the  use  of  this  song. 


With  the  recent  affiliation  of  KGBU  in  Ketchikan  to  the 
Mutual  Broadcasting  System,  Alaska  now  has  its  first  network  radio 
station.  KGBU  will  re broadcast  network  programs  on  signals  from 
KOL,  Seattle,  and  KMO,  Tacoma. 

At  the  same  time  that  Mutual  acquired  its  chilliest  link, 
it  also  added  to  its  network  a  station  in  Scranton,  Pennsylvania, 
whose  call  letters  are  -  WARM! 


Financial  affairs  of  the  bankrupt  Grigsby- Grunow  Company 
in  Chicago,  once  one  of  the  nation's  top  radio  manufacturing  con¬ 
cerns,  were  closed  out  in  Federal  Court  last  week.  The  total  paid 
in  liquidation  is  63.9  percent  to  bondholders  and  40.7  to  general 
ere ditors. 


The  LaGuardia  Field  Crash  Wagon  in  New  York,  in  addition 
to  fire  fighting  equipment,  has  a  radio  receiving  set  fix- tuned  to 
the  dispatcher  in  the  tower  of  the  Administration  building  and  thus 
is  in  touch  at  all  times. 

XXXXXXXXXX 
WILL  ROGERS  WAS  NOT  HAPPY  WITH  RADIO 

In  the  autobiography  of  the  late  Will  Rogers  appearing  in 
the  Saturday  Evening  Post  under  the  title  "Uncle  Clem's  Boy",  his 
widow,  Mrs.  Betty  Blake  Rogers,  writes: 


"Will  was  never  quite  happy  with  radio,  although  he  was  one  of 
a  very  few  on  the  air  who  submitted  to  no  censorship.  Since  much  of 
his  talk  was  extemporaneous,  he  needed  an  immediate  audience  to  play 
to.  The  microphone,  or  for  that  matter  the  motion-picture  camera, 
was  a  poor  substitute. 

"'They  have  a  time  getting  me  stopped  on  this  radio  thing', 
he  would  explain  over  the  air,  f so  I  got  an  alarm  clock  here,  and 
when  it  goes  off,  brother,  I  quit  -  even  if  I'm  right  in  the  middle 
of  reciting  Gunga  Din  or  the  Declaration  of  Independence.  I  wouldn't 
need  this  alarm  clock  if  I  hadn' t  been  so  dumb  about  this  broadcast¬ 
ing.  You  see,  everybody  reads  everything  they  do  over  the  radio  and 
I'm  going  to  learn  it,  but  the  trouble  with  me  is  I  don't  read  very 
well  and  I  hate  to  go  to  the  trouble  of  writing  this  out.  If  I  ever 
saw  in  print  what  I  do  say  sometimes,  I  would  be  ashamed  to  say  it.  ' 

1"Will  always  insisted  on  an  audience  in  the  studio,  but  it 
wasn't  quite  the  same.  He  had  to  talk  into  the  microphone  and  he 
couldn't  tell  whether  the  people  listening  in  were  getting  it  or  not. 
But  after  the  broadcast  to  countless  people  that  he  could  neither 
see  nor  hear,  Will  usually  stayed  on  and  talked  for  a  while  to  the 
audience  of  a  hundred  or  so  there  in  the  studio.  Often  he  was  more 
entertaining  then  for  the  next  half-hour  than  he  had  just  been  in 
the  fifteen-minute  broadcast  for  which  he  had  received  around  $7,000. 

XXXXXXXX  -10- 


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11/15/40 


NEW  MILLION  DOLLAR  NEC  SAN  FRANCISCO  BUILDING- 

' 

Immediate  construction  of  a  new  "NBC  Building"  in  San 
Francisco  has  just  been  authorized.  Location  of  the  structure  will 
be  at  the  northeast  corner  of  Taylor  and  O' Farrell  Streets,  in  the 
heart  of  the  downtown  business,  hotel,  club  and  theater  district. 
Except  for  a  public  garage  in  the  basement  and  first  floor,  the 
building  will  be  devoted  exclusively  to  broadcasting  purposes. 

The  new  building  of  reinforced  concrete,  will  be  an 
adequate  and  efficient  "studio  and  office  building  for  KGO  and  KPO" , 
and  will  contain  52,800  square  feet  of  floor  space. 

Four  stories  high  and  air-conditioned  throughout,  the  new 
radio  headquarters  will  have  no  need  for  windows.  Glass  block  sec¬ 
tions  will  serve  for  both  exterior  trim  and  daylight  illumination 
inside  the  building.  The  main  entrance  will  be  on  Taylor  Street, 
near  the  Clift  Hotel,  and  an  imposing  lobby  will  welcome  the  visi¬ 
tors.  Seven  display  windows  here  will  tell  the  story  of  radio  and 
its  programs  while  elevators  and  a  wide  staircase  lead  to  the  upper 
floors . 


In  appearance  the  "NBC  Building"  will  be  simple,  dignified, 
impressive.  One  wide  belt  of  the  block  glass  will  rise  at  the  left 
of  the  entrance  and  connect  with  a  horizontal  belt  of  the  same 
material  running  the  length  of  the  structure  on  both  streets.  Other 
narrower  bands  will  mark  the  floors,  breaking  the  walls.  At  night 
these  glass  brick  sections  will  be  illuminated  from  within,  giving 
an  interesting  distinction  to  the  building. 

Except  for  the  lobby,  the  street-level  floor  and  base¬ 
ment  will  be  occuped  by  "The  Radio  Garage",  with  space  for  130 
automobiles.  Garage  entrance  and  exit  will  be  on  the  two  streets 
to  facilitate  traffic.  _ _ _  •  — v 

XXXXXXXXXX 

GEN.  JOHNSON  ON  RISKY  LIST? 

The  following  is  from  Variety: 

— 

"Gen.  Hugh  Johnson  has  created  an  embarrassed  silence 
that  will  probably  embarrass  him  hereafter.  This  is  the  result  of 
his  injection  on  Election  eve  of  the  Jewish  race  and  his  unflatter¬ 
ing  mimicry  over  WOR,  New  York,  of  Yiddish  dialect . 

"The  embarrassed  silence  definitely  mil  have  one  result. 
Johnson  will  be  on  the  'be  careful'  list  of  radio  stations  here¬ 
after,  along  with  the  padre  of  Royal  Oak.  Several  affiliates  have 
already  told  their  networks  that  'Johnson  is  too  risky'." 

XXXXXXXXXX 


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" DIRECT  PICK-UP'1  IN  COLOR  TELEVISION  ACHIEVED  AT  CBS 

!  f 

Dr.  Peter  C.  Goldmark,  CBS  Chief  Television  Engineer, 
revealed  to  the  Fall  meeting  of  the  Institute  of  Radio  Engineers 
at  Rochester,  N.  Y. ,  that  direct  pick-up  in  color  television  has 
been  achieved  experimentally  in  the  Columbia  Broadcasting  System's 
laboratories. 

"Direct  pick-up  of  full  color  television",  Dr.  Goldmark 
said,  "has  definitely  graduated  from  the  drawing  board  and  formula 
stage,  and  appears  to  require  only  straightforward  engineering 
effort .  " 


With  the  particular  equipment  used  in  his  experiments, 
no  more  intense  light  level  was  required  for  color  pick-up  than  has 
been  needed  for  black  and  white  equipment  in  the  CBS  studios,  Dr. 
Goldmark  added.  Although  it  is  probable  that  with  the  same  kind 
of  equipment,  color  pick-up  will  require  more  light  than  if  black 
and  white  v/ere  picked  up  alone,  the  amount  of  light  needed  does  not 
appear  to  present  a  problem. 

Dr.  Goldmark  said  his  staff  of  engineers  already  is  con¬ 
structing  equipment  with  which  it  is  hoped  laboratory  demonstrations 
can  be  given  for  the  Federal  Communications  Commission,  the  National 
Television  Systems  Committee  and  the  press. 

"The  results  of  our  experiments",  Dr.  Goldmark  declared, 

!  "are  most  encouraging  and  augur  well  for  the  complete  practicability 
of  full  color  television.  But  I  want  it  to  be  fully  understood  that 
we  are  still  in  the  laboratory." 

XXXXXXXXXX 


PILLOW  SPEAKER  WORRIES  NAZIS 


The  "soft  speaker"  recently  introduced  by  a  radio  manu¬ 
facturer  in  Germany  is  causing  worry  to  Berlin.  The  device  may  be 
plugged  in  to  any  radio  set  and,  when  placed  under  the  pillow,  can 
be  heard  by  the  user  of  the  pillow,  and  by  no  one  else.  The  manu¬ 
facturer  says  it  is  for  invalids,  but  Berlin  fears  that  'unscrupu¬ 
lous  people"  will  use  it  for  secret  listening  to  foreign  stations, 
and  that  all  those  buying  it  cannot  be  invalids. 

-  Washington  Star 

xxxxxxxxxxxx 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


November  19,  1940 


DUTCH  RADIO  COMPANY  SEEKING-  AMERICANIZATION 


Although  general  sympathy  is  expressed  for  the  plight  of 
Holland,  the  efforts  which  the  philips  Company  of  The  Netherlands, 
probably  the  greatest  exporter  of  radio  apparatus  in  the  world,  is 
said  to  be  making  to  establish  itself  as  an  American  concern  are 
reported  to  be  cool'y  received  here.  This  is  attributed  to  the 
sharp  competition  the  Philips  Company  has  given  U.  S.  radio  manu¬ 
facturers  in  foreign  countries.  Despite  this,  the  great  Dutch 
company  having  been  obliged  to  leave  Holland  almost  overnight,  is 
now  seeking  recognition  as  an  American  concern  and  is  making  repre¬ 
sentations  to  the  State  and  Treasury  Departments  to  this  end.  By 
way  of  officially  establishing  themselves  in  this  country,  the 
Philips  people  are  reported  to  have  put  the  assets  of  all  their 
property  outside  of  Europe  and  the  British  and  French  empires  or 
colonies  in  trust  in  the  Hartford  National  Bank  and  Trust  Company 
in  Hartford.  Furthermore  they  have  taken  an  entire  floor  in  one 
wing  of  a  large  New  York  hotel  as  their  American  headquarters. 

Three  American  companies  are  understood  to  be  manufactur¬ 
ing  receiving  sets  for  the  Philips  Company  and  two  American  con¬ 
cerns  supply  tubes.  The  sets,  however,  are  being  made  according  to 
Philips’  specifications  and  with  the  proviso  that  they  will  be 
offered  in  the  export  market  only.  Nevertheless,  it  is  argued 
that  all  of  the  above  mentioned  products  are  to  be  used  in  competi¬ 
tion  to  American  exporters. 

At  least  one  Government  official,  a  man  apparently 
thoroughly  aware  of  the  charges  made  against  Philips  of  unfair 
competition  to  American  radio  manufacturers  in  the  past,  seemed 
unimpressed  by  the  Philips'  Americanization  claim. 

’’The  question  is,  does  putting  assets  in  a  Hartford  bank 
or  establishing  headquarters  in  New  York  necessarily  make  them  an 
American  firm?"  he  said.  "Probably  it  would  be  necessary  that  51$ 
of  the  stock  be  owned  by  Americans.  No  doubt  the  situation  is  be¬ 
ing  studied  and  the  answer  will  be  forthcoming  before  long.  " 

With  regard  to  the  alleged  unfair  competition  angle,  a 
large  radio  manufacturer  expressed  himself  in  no  uncertain  terms. 

"In  the  export  of  American  radios  the  United  States  radio 
industry  has  had  practically  no  competition  from  foreign  countries 
with  the  exception  of  the  Dutch  Philips  Company",  this  radio  manu¬ 
facturer  said.  "Philips,  by  the  most  questionable  methods,  has 
consistently  taken  business  away  from  American  manufacturers  ell 
over  the  world.  For  years  this  has  been  particularly  true  in  the 
European  area  where,  through  alleged  patents,  many  of  which  are 


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reported  to  have  originated  in  the  United  States,  they  have  kept 
American  manufacturers  out  of  most  European  markets.  It  has  not 
been  clean  competition,  what  with  interlocking  directorate  between 
their  own  and  American  corporations.  They  are,  likewise,  building 
up  a  patent  situation  in  Argentina  and  other  South  American  mar¬ 
kets  which  we  may  expect  them  to  use  against  American  manufactur¬ 
ers. 


"The  record  indicates  that  they  entered  into  contracts 
with  various  European  manufacturers  stipulating  that  one  of  the 
considerations  of  the  contract  would  be  that  the  said  manufacturer 
not  purchase  American  tubes.  Their  legal  representative  is  report¬ 
ed  to  have  stated  ’Our  fight  is  against  America'. 

"They  are  reported  to  have  put  in  over  a  million  dollars 
in  the  Argentine  to  gain  control  of  that  market,  and  to  have  en¬ 
deavored,  through  improperly  stated  information,  to  influence 
government  officials  to  limit  the  importation  of  American-made 
tube  s. 


"The  credits  they  extend  are  almost  unheard  of.  Believe 
me  when  I  tell  you  that  it  has  been  the  most  vicious  competition 
that  it  has  ever  been  my  misfortune  to  encounter. 

"And  no  longer  being  able  to  manufacture  their  products 
in  the  Netherlands,  seeking  any  port  in  a  storm,  and  in  spite  of 
everything  they  have  done  to  us,  they  set  up  headquarters  here  and 
have  now  made  a  deal,  or  a  series  of  deals,  in  this  country  whereby 
three  American  companies  here  are  now  all  manufacturing  Philips' 
radios  for  Philips  and  these  are  to  be  used  in  competition  to 
American  manufacturers. 


"When  we  find  an  overseas  competitor  endeavoring  to  come 
to  our  shores  with  a  record  like  that,  it  would  appear  that  the 
Government  should  be  in  a  position  to  take  adequate  steps  to  pro¬ 
tect  American  manufacturers  and  American  labor  against  the  apparent 
lack  of  an  ordinary  knowledge  of  common  ethics.  " 


According  to  the  latest  reports,  the  Philios  Comoany  is 
still  operating  a  manufacturing  plant  and  assembly  branches  in 
England,  Dutch  East  Indies,  Argentina,  Australia,  New  Zealand, 
Uruguay  and  Brazil.  They  are  said  to  have  given  up  any  hope  of 
getting  back  their  big  plant  at  Eindhoven,  which  is  now  being  run 
full  blast  by  the  Germans.  No  matter  how  this  may  work  out,  the 
representation  of  the  Philios  people  to  our  Government  is  that  they 
desire  to  be  permanently  established  as  an  American  concern. 


XXXXXXXXXX 


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TO  SPEND  $8,000,000  TO  SPUR  TELEVISION 


Development  of  television  to  a  workable  unified  system 
is  being  speeded  by  an  aggregate  of  $8,000,000  which  has  been  bud¬ 
geted  for  that  purpose  by  some  two  score  individuals  and  firms 
which,  to  date,  have  been  authorized  by  the  Federal  Communications 
Commission  to  engage  in  such  practical  research  and  experimentation 
on  a  nation-wide  basis. 


Expenditure  of  more  than  $3,000,000  is  proposed  by  10 
television  projects  which  received  Commission  approval  last  week. 
Two  of  these  grants  are  to  the  Hughes  Productions  Division  of  the 
Hughes  Tool  Co.,  which  has  $2,000,000  available  for  stations  in 
Los  Angeles  and  San  Francisco.  The  establishment  of  Howard  R. 
Hughes,  noted  aviator,  capitalist  and  movie  producer,  proooses  to 
experiment  in  program  production  development  in  cooperation  with 
Hughes  Productions  of  Hollywood;  study  studio  lighting  effects; 
seek  improvement  of  television  transmitters,  cameras,  and  synchro¬ 
nizing  generators;  test  transmission  of  various  numbers  of  lines 
between  421  and  525;  compare  different  types  of  synchronizing  sig¬ 
nals,  and  try  FM  (frequency  modulation)  for  the  sound  accompanying 
the  pictures.  In  both  cities  the  Hughes  concern  will  operate  on 
Television  Channel  No.  2  (60,000-66,000  kilocycles)  with  10  kilo¬ 
watts  aural  and  visual  power. 

At  the  same  time  the  Commission  authorized  like  experi¬ 
mental  operation  for  five  other  Los  Angeles  applicants: 

Columbia  Broadcasting  System,  Inc. ,  to  operate  on 
Channel  No.  8  (162,000-168,000  kilocycles),  100  watts  aural  and 
visual  power;  for  the  purpose  of  transmitting  programs  to  ascer¬ 
tain  public  reaction  and  otherwise  conducting  a  program  of  research 
in  Los  Angeles  in  conjunction  with  that  of  its  New  York  television 
station. 


Earle  C.  Anthony,  Inc.,  to  operate  on  Channel  No.  6 
(96,000-102,000  kilocycles),  1000  watts  aural  and  visual  power;  to 
study  the  relative  merits  of  horizontal  and  vertical  polarization 
in  the  Los  Angeles  area,  with  particular  study  of  the  effect  of 
ignition  and  diathermy  interference,  and  transmission  over  salt 
water,  to  Catalina  Island. 

Leroy's  Jewelers,  to  operate  on  Channel  No.  10  (186, GOO- 
192, 000)  ,  1000  watts  aural  and  visual  power;  "to  further  improve 
the  quality  of  pictures  transmitter  by  television  from  the  stand¬ 
point  of  reception  quality  and  to  determine  the  system  of  televi¬ 
sion  transmission  which  will  produce  the  best  results  for  wide¬ 
spread  use  from  a  visual  and  optical  standpoint. " 

May  Department  Stores  Co.,  to  operate  on  Channel  No.  12 
(210,000-216,000  kilocycles),  with  1  kilowatt  aural  and  visual 
power,  for  general  research  and  experimentation  in  the  Los  Angeles 
area. 


4 


11/19/40 


Television  Productions,  Inc. ,  a  subsidiary  of  Paramount 
Pictures,  to  operate  a  television  relay  station  on  Channels  Nos.  13 
and  14  (234,000-240,000;  240,000-246,000  kilocycles),  250  watts 
visual  power,  to  supplement  television  broadcast  station  W6XYZ, 
also  in  Los  Angeles,  for  which  the  applicant  has  a  construction 
permit.  The  latter,  using  Channel  No.  4  (78,000-84,000  kilocycles), 
proposes  experimentation  with  the  "DuMont  standards " . 

In  addition,  the  Commission  granted  stations  to  New  York, 
Chicago,  and  Manhattan,  Kans.,  as  follows: 

Metropolitan  Television,  Inc. ,  New  York,  to  operate  on 
Channel  No.  8  (162,000-168,000  kilocycles),  1  kilowatt  aural  and 
visual  power;  to  develop  program  techniques  for  determining  public 
tastes,  including  the  use  of  two  television  theaters  where  daily 
programs  will  be  projected  for  free  public  viewing.  This  appli¬ 
cant  is  associated  with  two  department  stores,  Bloomingdale  Bros, 
and  Abraham  &  Straus. 

Columbia  Broadcasting  System,  Inc.,  Chicago,  to  operate 
on  Channel  No.  4  (78,000-84,000  kilocycles),  1  kilowatt  aural  and 
visual  power;  to  participate  in  CBS  television  research  by  develop¬ 
ing  data  on  Chicago  conditions  that  may  assist  in  the  ultimate 
determination  of  polarization  and  synchronization  for  a  national 
television  service. 

Kansas  State  College  of  Agriculture  and  Applied  Science, 
Manhattan,  Kans.,  to  use  Channel  No.  1  (50,000-56,000  kilocycles), 
100  watts  aural  and  visual  power;  to  determine  propagation  char¬ 
acteristics,  study  horizontal  and  vertical  polarization,  and 
experiment  with  various  synchronizing  systems  using  various  numbers 
of  lines  and  frames. 

These  contemplated  programs  of  research  and  experimenta¬ 
tion  are  pursuant  to  Commission  requirements  looking  to  development 
of  television  to  a  point  that  will  enable  the  industry  to  agree  on 
a  uniform  transmission  system  of  acceptable  technical  quality. 

Cooperation  of  the  industry  is  further  reflected  in  the 
comprehensive  survey  of  the  television  situation  new  being  conduct¬ 
ed  by  the  National  Television  Systems  Committee.  Organized  last 
July  through  the  joint  efforts  of  the  Radio  Manufacturers '  Associa¬ 
tion  and  the  Commission,  this  Committee  represents  the  pooled 
engineering  experience  of  the  industry.  Its  various  panels  have 
been  making  a  detailed  study  of  many  phases  of  television. 

The  Commission  yesterday  designated  Monday,  January  27, 
as  the  time  to  receive  a  formal  over-all  progress  report  from  the 
full  Committee.  Members  of  the  Commission  plan  to  visit  the  New 
York  area  on  January  24  to  see  late  television  developments  first¬ 
hand  prior  to  this  conference  with  the  National  Television  Systems 
Committee . 


5 


11/19/40 


An  investment  of  $5,000,000  is  represented  in  previous 
television  authorizations  by  the  Commission.  This  list,  which 
shows  wide  distribution  of  facilities,  includes  Balaban  &  Katz 
Corp. ,  Chicago;  Bamberger  Broadcasting  Service,  Inc.,  New  York; 
Columbia  Broadcasting  System,  New  York;  Crosley  Corporation, 
Cincinnati;  Allen  B.  DuMont  Laboratories,  New  York,  Washington 
and  Passaic,  N.  J. ;  Don  Lee  Broadcasting  System,  Los  Angeles, 
Hollywood  and  San  Francisco;  First  National  Television,  Inc., 
Kansas  City,  Mo.;  General  Electric  Co.,  Schenectady;  General  Tele¬ 
vision  Corporation,  Boston;  National  Broadcasting  Co.,  New  York, 
Philadelphia  and  Washington;  RCA  Manufacturing  Co.,  Camden,  N.J.; 
Philco  Radio  &  Television  Corporation,  Philadelphia;  Purdue 
University,  West  Lafayette,  Ind. ;  Radio  Pictures,  Long  Island 
City,  N.Y. ;  State  University  of  Iowa,  Iowa  City;  WCAU  Broadcasting 
Co.,  Philadelphia;  Zenith  Radio  Corporation,  Chicago,  and  The 
Journal  Co. ,  Milwaukee,  Wis. 


xxxxxxxxx 


ASCAP  VS.  NAB:  LAST  INNING  SCORE 


With  unrenewed  contracts  in  the  broadcast  music  dead¬ 
lock  expiring  December  31st,  it  won’t  be  long  now  until  definite 
results  are  known. 

Edwin  C.  Mills,  Chairman  of  the  Administrative  Committee 
of  the  American  Society  of  Composers,  and  Neville  Miller,  Presi¬ 
dent  of  the  National  Association  of  Broadcasters,  present  the 
eleventh  hour  positions  of  these  two  strong  organizations  in  the 
November  issue  of  Adve rtising  and  Selling. 

Mr.  Miller  leads  off  as  follows: 

"The  position  which  I  set  forth  in  your  columns  in  the 
issues  of  December  1939  and  January  1940  remains  unchanged.  Since 
that  date,  however,  Broadcast  Music,  Inc.,  has  made  extraordinary 
progress  and  has  gained  the  loyal  adherence  not  only  of  the  broad¬ 
casting  industry  but  of  radio  advertisers,  who  endorse  its  orinciples. 

"Broadcast  Music,  Inc.,  has  already  published  under  its 
own  imprint  approximately  300  selections  and  has,  by  contract  with 
other  publishers,  acquired  performing  rights  in  over  150,000  compo¬ 
sitions.  A  number  of  BMI  compositions  have  been  on  the  ‘Hit  Parade' 
and  trade  lists  of  most  frequently  performed  compositions,  and 
sheet  music  and  record  best  sellers  are  studded  with  the  names  of 
BMI  numbers.  Over  85/  of  the  dollar  volume  of  the  broadcasting 
industry  is  now  represented  among  BMI  subscribers,  and  the  list 
grows  steadily.  A  majority  of  the  stations  in  the  country  are 
enrolled  with.  BMI,  -  40/  of  the  100  and  250  watt  stations,  55/  of 
the  500  and  1000  watt  stations,  70/  of  the  1  kilowatt  to  5  kilo¬ 
watt  stations,  and  90/  of  the  stations  having  over  5  kilowatt 
power  are  on  the  BMI  roster.  This  is  a  representative  cross-sec¬ 
tion  of  the  entire  industry,  and  networks  own  only  23  percent  of 
the  BMI  stock. 


6 


\ 


11/19/40 


"The  volume  of  ASCAP  music  on  programs  has  already  been 
drastically  reduced,  and  the  use  of  A3CA?  music  is  daily  decreas¬ 
ing.  Advertisers  are  changing  from  theme  songs  owned  by  ASCAP  to 
theme  songs  owned  by  advertisers.  The  entire  industry  is  orepar- 
ing  itself  for  the  withdrawal  by  ASCAP  of  its  music,  and  broadcast¬ 
ing  will  go  on  with  undiminished  interest  and  success  after  January 
1st.  What  has  caused  the  almost  universal  support  of  3MI  and  the 
fine  unity  of  its  adherence  is  a  principle  which  is  not  open  to 
successful  challenge. 

"The  broadcasters  will  no  longer  tolerate  a  system  under 
which  they  pay  a  percentage  of  the  revenue  derived  from  programs 
which  use  no  note  of  ASCAP  music.  This  is  a  vice  with  respect  to 
pro0rams  which  use  no  music  at  all.  It  is  an  equal,  if  not  great¬ 
er,  vice  with  respect  to  programs  using  non- ASCAP  writers.  So 
long  as  ASCAP  demands  the  same  pay  from  programs  which  do  not  use 
ASCAP  music  as  for  programs  which  do  use  ASCAP  music,  they  dis¬ 
courage  the  payment  of  non-ASCAP  writers  and  thus  oerpetuate  their 
monopoly.  The  industry  will  consider  no  proposition  from  ASCAP 
which  perpetuates  this  vicious  practice. 

"Moreover,  an  examination  of  ASCAP* s  internal  structure 
tends  more  and  more  to  tear  the  mask  from  its  avowed  philanthropic 
aims.  Of  the  $6,000,000  which  ASCAP  collected  in  1938,  less  than 
$60,000  was  divided  among  more  than  700  of  ASCAP* s  thousand  writer 
members.  In  other  words,  one  cent  out  of  every  dollar  that  ASCAP 
collected  went  to  the  bulk  of  its  writer  membership.  The  broad¬ 
casting  industry  faces  January  1st  with  calm,  confident  determina¬ 
tion  that  it  will  not  enter  any  comoromise  which  peroetuates 
organized  monopoly.  " 

Mr.  Mills  replies: 

"The  reply  of  NAB  in  behalf  of  the  networks  to  ASCAP* s 
demand  for  reasonable  payment  for  its  license  was  the  formation  of 
Broadcast  Music,  Inc.  The  publicity  branch  of  that  organization 
has  issued  glowing  success  stories  of  its  operation.  But  they  have 
somehow  omitted  to  state  that  orchestra  leaders  are  compelled  to 
play  B.M.I.  numbers  *  or  else*.  Naturally,  these  numbers  become 
'most  played',  but  this  fact  is  irrelevant  to  the  issues. 

"Under  compulsion  of  their  employers,  the  musicians  and 
artists  are  required  to  play  B.M.I.  tunes  whether  they  or  the  pub¬ 
lic  like  them  or  not.  In  fact,  they  have  been  notified  that  the 
ratio  of  B.M.I.  to  ASCAP  compositions  must  be  increased. 

"Another  misimpression  which  the  broadcasters  publicize 
comes  from  their  insistence  that  they  will  refuse  to  pay  a  she  re  of 
the  revenue  from  programs  on  which  ASCAP  music  is  not  played.  Of 
course,  this  is  simply  a  pose  for  propaganda  purposes  that  goes  to 
becloud  the  real  issues.  ASCAP* s  license  makes  its  entire  reper¬ 
toire  available  under  a  blanket  license  for  use  at  will  on  all  pro- 
grsjms.  ASCAP  sells  'readiness  to  serve*  all  programs  -  sells  the 
true  and  real  support  which  makes  possible  'spot  announcements’  - 
’soap  operas'  -  and  the  hodge-podge  of  non-musical  commercial  pro¬ 
grams  which,  of  themselves  and  without  the  support  of  intervening 
musical  programs  would  never  hold  or  build  radio  audiences.  It  is 
most  interesting  to  observe  that  B.M.I.  licenses  its  repertoire 
upon  exactly  the  same  'vicious*  basis  -  a  blanket  fee  for  a  blanket 


7 


11/19/40 


use  -  regardless  of  the  content  of  individual  programs.  They 
criticize  and  condemn  our  method  -  but,  unable  to  find  a  better- 
they  copy  it. 

"Two  themes  are  played  endlessly  in  the  broadcasters1 
publicity:  the  charge  that  ASCAP  is  monopolistic  and  that  division 
of  its  revenue  is  unfair. 

"On  the  point  of  monopoly:  Who  is  it  that  calls  ASCAP  - 
(a  voluntary  unincoprotated,  non-profit  association  of  song  writers 
and  their  publishers)  -  monopolistic?  And,  after  the  broadcasters’ 
publicity  has  boasted  that  B.M. I.  has  such  a  sufficient  repertoire 
of  music  as  to  prove  the  reverse.’ 

"But  perhaps  on  this  point  the  Federal  Communications 
Commission  should  be  heard.  Read  the  press  release  (#41550)  dated 
June  twelfth,  of  the  Commission  entitled  "CHAIN  BROADCASTING-  ABUSES 
CITED"  -  'During  the  past  ten  years  networks  have  so  developed  that 
today  programs  are  broadcast  to  the  general  public,  not  by  the 
stations  whose  owners  *  *  *  received  licenses  for  such  a  privilege, 
but  through  the  network  organizations.  The  record  shows  that  net¬ 
work  organizations  today  are  utilizing  about  48/  of  the  broadcast 
time  of  more  than  50/  of  the  commercial  stations  *  *  Never  for¬ 

get  that  the  issue  in  this  controversy  is  between  the  networks  (not 
the  ’industry’)  and  ASCAP.  Never  forget  that  the  networks  as  such 
have  never  paid  a  single  cent  to  ASCAP  -  that  is  the  issue. 

"And  what ’ s  this  about  the  division  of  ASCAP ’s  income: 

This  is  a  problem  which  concerns  our  own  members  exclusively.  For 
a  quarter  of  a  century  they  have  seemed  fairly  satisfied  with  their 
own  manner  of  dividing  their  own  money.  They  ask  no  questions 
about  how  the  broadcasters  divide  their  revenues  -  though  they  know 
that  of  44  million  dollars  collected  by  Columbia  and  NBC  in  1958 
for  network  broadcasts  only  12  million  was  paid  out  to  235  connect¬ 
ed  stations,  and  of  this  about  6  million  or  half  was  paid  to  23  of 
them,  the  other  half  to  212.  But  that's  none  of  our  business  -  and  - 
vice  versa.  " 

XXXXXXXXXX 


DILL  APPARENTLY  BEATEN  FOR  GOVERNORSHIP 


Even  now  the  fate  of  former  Senator  Clarence  C.  Dill  in 
his  race  for  Governor  of  the  State  of  Washington  seems  uncertain. 
According  to  the  latest  news  dispatch  from  Seattle,  Mayor  Arthur 
Langlie,  Seattle  Republican,  captured  the  absentee  ballot  count 
in  the  Pierce  County  stronghold  of  Senator  Dill,  and  the  Post- 
Intelligencer  said  Mr.  Langlie  had  been  elected  Governor.  Mayor 
Langlie ' s  lead  increased  hourly  as  the  counting  continued.  He  had 
a  lead  of  3,400  over  his  Democratic  opponent  with  more  than  half  of 
the  State's  absentee  ballots  counted. 

XXXXXXXX 

NOTE:  DUE  TO  THE  FACT  THAT  THE  GOVERNMENT  OFFICES  WILL  EE 

CLOSED  ON  THURSDAY,  NOVEMBER  21,  THERE  WILL  BE  NO  ISSUE  OF  THIS 
SERVICE  ON  FRIDAY,  NOVEMBER  22. 

R.  D  He  ini 

XXXXXXXX 
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11/19/40 


TO  OFFER  RADIO  PRIZES  LIKE  PULITZER 


With  the  idea  of  making  annual  radio  awards  on  much  the 
same  basis  as  Pulitzer  Prizes  are  given  to  outstanding  newspaper 
and  literary  accomplishment,  the  University  of  Georgia  at  Athene 
has  named  the  following  to  the  George  Foster  Peabody  Radio  Awards 
Advisory  Board: 

Dr.  S  V.  Sanford,  Chancellor,  University  System  of 
Georgia;  Bruce  Barton,  President,  Batten,  Barton,  Durstlne  & 
Osborn,  advertising,  New  York  City;  John  H.  Benson,  President, 
American  Association  of  Advertising  Agencies,  New  York  City; 
Virginius  Dabney,  editor,  Richmond  (Va. )  Time s- Dispatch;  Jonathan 
Daniels,  editor,  Raleigh  (N.  C.  )  News  and  Observer;  Mark  F.  Ether¬ 
idge,  General  Manager,  Louisville  (Ky. )  Courier- Journal  and  Times; 
Waldemar  Kaempffert,  Science  Editor,  The  New  York  Times;  Alfred  A. 
Knopf,  publisher,  New  York  City;  Dr.  John  W.  Studebaker,  United 
States  Commissioner  of  Education;  Mrs.  Marjorie  Peabody  Waite, 
daughter  of  George  Foster  Peabody,  of  Saratoga  Sorings,  N.  Y. ; 
and  Edward  Weeks,  editor,  The  Atlantic  Monthly,  Boston,  Mass. 

The  prizes  will  be  awarded  beginning  next  year. 

xxxxxxxxx 


MCDONALD  URGES  GLIDER  TRAINING  FOR  YOUTH 


In  a  leading  article,  ’’Silent  Wings”  in  the  November  30th 
issue  of  Collier’ s,  advocating  the  use  of  gliders  for  experimenta¬ 
tion  purposes,  Commander  E.  F.  McDonald,  Jr.  ,  of  Chicago,  will 
advance  the  idea  that  the  youth  of  the  country,  if  given  a  chance, 
can  do  for  aviation  what  they  have  done  for  radio.  He  tells  what 
marvelous  training  the  glider  is  for  pilots.  It  is  his  theory  that 
if  we  can  let  the  young  people  of  the  country  have  these  motorless 
planes  to  experiment  with  at  a  cost  to  fit  their  pock-books,  a 
thing  he  says  we  have  Just  got  to  do,  that  they  will  do  the  rest. 

It  is  hoped  that  Commander  McDonald  in  the  forthcoming 
article  will  tell  his  own  experience  with  a  glider.  In  a  moment 
of  enthusiasm  at  a  recent  test,  he  volunteered  to  go  up.  Before 
he  hardly  knew  It,  the  Chicagoan  found  himself  a  hundred  feet  in 
the  air  with  not  the  slightest  Idea  ofhow  he  could  get  back  to 
earth  without  breaking  his  neck. 

Commander  McDonald’s  article  in  Collier's  will  be  on 
the  news-stands  November  22nd. 

xxxxxxxx 

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FCC  QUIZZES  227  STATIONS  ON  MONOPOLY  BRIEF 


All  227  member  stations  of  Independent  Radio  Network 
Affiliates,  Inc. ,  have  been  asked  by  the  Monopoly  Committee  of 
the  Federal  Communications  Commission  whether  they  agree  with  a 
brief  filed  in  the  radio  monopoly  investigation  on  behalf  of  the 
Association. 

The  brief,  which  severely  attacked  conclusions  and  recom¬ 
mendations  of  the  Committee,  was  filed  for  the  Association  by  its 
counsel,  Paul  M.  Segal. 

Four  questions  are  asked  station  operators  in  the  tele¬ 
gram:  First,  whether  the  brief  was  authorized  by  them;  second, 

whether  they  approved  the  brief;  third,  if  they  did  not  approve 
the  brief,  whether  they  subscribed  to  its  views,  and,  fourth, 
whether  the  brief  represented  the  position  of  the  station. 

The  brief  of  the  affiliates  was  one  of  three  which  criti¬ 
cized  the  FCC  Committee.  The  others  were  from  the  Columbia  Broad¬ 
casting  System  and  the  National  Broadcasting  Co. ,  which  serve  the 
affiliates.  Another  brief,  filed  by  the  Mutual  Broadcasting  System, 
rather  supports  the  Committee.  Mutual's  complaint  that  it  was 
unable  to  get  satisfactory  outlets  in  various  communities  because 
of  the  alleged  dominance  of  the  two  major  chains  was  a  factor  in 
prompting  the  Committee's  investigation.  The  tenor  of  the  briefs 
filed  presages  a  bitter  fight  against  the  Committee  report,  which 
now  is  before  the  Commission  for  action. 

The  Columbia  brief  charged  the  Committee  report  is  based 
on  bias  and  a  zeal  for  reform  unrelated  to  the  actual  operation  of 
radio,  the  adoption  of  which  by  the  Commission  would  result  in  a 
breakdown  of  the  high-class  programs  made  possible  by  the  chain 
systems. 

Counsel  for  NBC  said  the  report  misconceives  the  nature 
of  the  broadcasting  business,  and  adds  that  it  proposes  that  the 
Commission  exercise  its  powers  in  the  licensing  of  stations  in 
order  to  accomplish,  indirectly  and  unlawfully,  a  result  which  it 
could  not  accomplish  either  directly  or  lawfully.  It  said  that  the 
Committee's  proposals  are  neither  novel  nor  sound. 

XXXXXXXX 

^ CAPITAL  TO  CELEBRATE  RADIO'S  BIRTHDAY 

Topping  off  a  series  of  dinners  around  the  country  in 
celebration  of  radio's  twentieth  anniversary,  local  Washington 
radio  stations,  the  Radio  Manufacturers'  Association  and  the  NAB 
will  co-sponsor  a  dinner  to  be  held  Tuesday  evening,  November  26. 

The  President,  members  of  his  Cabinet,  members  of  Congress,  the  FCC 
and  high  government,  Army  and  Navy  officials,  as  well  as  outstanding 
figures  in  all  walks  of  public  life  will  be  invited. 

While  other  network  programs  may  be  scheduled,  Mutual 
has  already  cleared  9:30  to  10:00  P.M. ,  EST,  for  a  special  broad¬ 
cast  of  the  American  Forum  of  the  Air,  to  be  broadcast  direct  from 
the  banquet  hall,  ere  sided  over  by  its  founder,  Theodore  G-rannik. 

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11/19/40 


TRADE  NOTES 


Telegraph  service  between  the  United  States  and  Alsace 
Lorraine  has  been  restored,  according  to  the  Mackay  Radio  and 
Telegraph  Company,  which  is  now  handling  messages  for  this  terri¬ 
tory,  including  such  important  points  as  Strasbourg  and  Metz.  The 
service  is  operated  by  direct  radiotelegraph  between  New  York  and 
Vienna  and  by  telegraph  to  Alsace  Lorraine.  Rates  are  the  same 
as  to  Germany. 


International  Station  WRUW,  of  the  International  Broad¬ 
casting  Company,  Boston,  partially  endowed  by  the  Rockefeller 
Foundation,  has  been  authorized  to  increase  its  power  from  20  to 
50  KW. 


Harry  MacFayden,  a  production  director  for  the  National 
Broadcasting  Company  for  the  last  eight  years  and  an  actor  and 
director  who  had  been  associated  with  the  American  stage  for  almost 
forty  years,  died  last  Wednesday  in  New  York  City  after  a  brief  _ 
illness.  He  was  59  years  old. 


Station  KFUO,  Evangelical  Luthem  Synod  of  Missouri,  Ohio 
and  other  States,  at  Clayton,  Missouri,  has  been  granted  a  construc¬ 
tion  permit  to  install  new  transmitter  and  increase  its  power  from 
1  KW  to  5  KW,  on  830  kilocycles,  operating  from  local  sunrise  to 
sunset  at  Denver,  Colo. 


The  Fort  Industry  Company  operators  of  Station  WSPD, 
Toledo,  Ohio,  announces  the  removal  of  its  executive  offices  from 
the  Commodore  Perry  Hotel  in  Toledo  to  the  second  floor  of  its  own 
Broadcast  Building,  136  Huron  Street,  Toledo. 


Frequency  modulation  broadcasting,  commonly  called  FM 
high-fidelity,  staticless  radio,  will  be  inaugurated  by  the  General 
Electric  Company,  Wednesday  evening,  November  20,  when  its  experi¬ 
mental  station,  W2X0Y,  located  in  the  Helderbergs  12  miles  from 
Schenectady,  will  begin  a  regular  schedule  of  seven  hours  daily. 
Short  talks  will  be  given  by  Charles  E.  Wilson,  President  of 
General  Electric,  and  Dr.  W.  R.  G.  Baker,  Blanager  of  the  company’s 
radio  and  television  department  and  Chairman  of  the  National 
Television  Systems  Committee.  ^ 


WOR  is  now  re broadcasting  important  programs  at  the  con¬ 
clusion  of  the  usual  night's  operations.  This  began  on  Armistice 
Day  when  President  Roosevelt's  address  at  Arlington  was  rebroed- 
cast  at  9:30  P . M.  and  again  at  2  A.M.  ;  and  when  Wendell  Willkie ' s 
speech  was  re  broadcast  at  2:10  A.M. 

XXXXXXXXX 
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11/19/40 


CBS'S  COMPENSATION  &  RE-EMPLOYMENT  PLAN  FOR  THOSE  IN  U.3.  SERVICE 


Salary  and  insurance  payments  for  employees  of  the 
Columbia  Broadcasting  System  who  are  called  into  active  military 
service,  together  with  a  company  policy  for  their  subsequent  re¬ 
employment,  were  announced  last  week.  The  CBS  plan  provides  for 
the  payment  of  from  one  month's  to  six  month's  aalary  for  all 
regular  full-time  employees,  based  upon  the  term  of  their  employ¬ 
ment  by  the  company  prior  to  the  date  of  entering  the  armed  ser¬ 
vices  of  the  United  States,  according  to  the  following  scale: 

Less  than  1  year's  employment  -  1  month's  salary;  more 
than  1  year  and  less  than  3  years'  employment  -  2  months'  salary; 
more  than  3  years  and  less  than  4  years'  employment  -  3  months' 
salary;  more  than  4  years  and  less  than  5  years'  employment  - 
4  months'  salary;  more  than  5  years  and  less  than  6  years'  employ¬ 
ment  -  5  months'  salary;  and  more  than  6  years'  employment  -  6 
months1  salary. 

In  addition  to  these  salary  payments,  the  comoany  will 
assume  the  cost  of  premiums  payable  by  employees  under  its  coopera' 
tive  insurance  program  during  the  required  year  of  military  train¬ 
ing. 


The  CBS  plan  for  re-employment  of  staff  members  after 
the  termination  of  their  military  service  provides  that  it  will 
be  the  policy  of  the  company,  except  in  unforeseen  circumstances, 
to  reinstate  employees  in  the  positions  which  they  previously 
occupied. 

XXXXXXXXX 


NAZIS  SWITCH  STATIONS  IN  RAIDS 


In  connection  with  the  Royal  Air  Force's  raids  on 
German  and  Italian  objectives,  it  is  pointed  out  in  a  newspaper 
dispatch  from  London,  that  German  wireless  stations  which  formerly 
went  off  the  air  when  British  planes  were  overhead  are  now  using 
a  new  technique  permitting  them  to  continue  broadcasting  during 
raids. 


The  technique  is  the  simple  one  of  switching  broadcasts 
from  one  sending  station  to  another  unaffected  by  the  raids.  Thus 
the  fact  that  these  stations  continue  broadcasting  nightly  does 
not  hoodwink  those  manning  "listening  posts"  in  London  into  think¬ 
ing  R.  A.  F.  bombers  are  inactive  over  Germany. 

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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


INDEX  TO  ISSUE  OF  NOVEMBER  26,  1940 


Industry  Prepares  For  Monopoly  Battle . 2 

FCC  Confirms  Great  Lakes  Radio  Rate  Case  Ruling. 

National  Frequency  Broadcasts  Resumed  After  Fire 


FCC  Grants  Power  Increases;  Other  Applicants . 5 

Germany  Intensifies  S-W  Propaganda  To  U.  S . 6 

One-Man  Peace  Foundation  Request  Denied . 7 

Cuba  Estimated  To  Have  200,000  Sets . 8 

Trade  Notes . 9 

McDonald  Advocates  Gliders  u0r  Air  Training . 10 

Manufacturers  To  Scrutinize  Own  Ads . 11 

Pittsburgh  To  Have  Radio  Weekly . 11 

Transradio  Accused  In  Dies  Report . 12 

G.  E.  Shows  Its  Television  Colors . 12 


No.  1284 


4*  4^ 


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' 

. 


November  26,  1940 


INDUSTRY  PREPARES  FOR  MONOPOLY  BATTLE 


Following  a  barrage  of  brickbats  hurled  at  the  1800  page 
Federal  Communications  Commission  Committee’s  chain  broadcasting 
report,  oral  arguments  will  be  heard  Monday,  December  2,  subsequent 
to  the  filing  of  the  final  briefs.  Among  the  Committee's  conclu¬ 
sions  tardily  submitted  last  June  when  it  was  openly  charged  by 
Congress  that  it  was  stalling,  were  that  networks  be  licensed,  that 
exclusive  network  affiliate  contracts  be  banned  and  that  the  FCC, 
in  effect,  supervise  the  dealings  of  the  stations  and  networks.  It 
was  largely  because  of  the  displeasure  of  Congress  in  the  way  that 
the  FCC  handled  this  report  that  the  Senate  refused  to  confirm 
Col.  Thad  Brown,  one  of  the  signers  of  the  report,  for  reappointment 
to  the  Commission. 

Vigorous  objections  to  the  report  were  voiced  by  all  the 
networks  except  Mutual  but  the  one  that  really  got  the  Commission's 
goat  was  submitted  by  Paul  Segal  on  behalf  of  the  Independent  Radio 
Network  Affiliates.  Chairman  James  L.  Fly  apparently  went  into  a 
tantrum  on  this  and  ordered  T.  J.  Slowie,  Secretary,  to  wire  each 
of  the  IRNA  members  as  to  whether  Segal's  brief  was  authorized  by 
them  and  whether  it  reflected  the  position  of  their  station. 

In  response  to  this,  Mark  Ethridge,  of  Station  WHAS, 
Louisville,  and  former  President  of  the  National  Association  of 
Broadcasters,  banged  back  with  the  hottest  telegram  anybody  ever 
sent  to  Chairman  Fly.  In  further  defiance,  Mr.  Ethridge  added  that 
he  was  sending  a  carbon  of  the  telegram  to  President  Roosevelt.  It 
read: 

"Dear  Mr.  Fly: 

"I  have  sent  the  following  wire  to  Mr.  Slowie,  in  response 
to  his  wire  of  yesterday: 

"'WHAS  was  represented  at  the  San  Francisco  Convention, 
which  instructed  the  officers  and  directors  of  IRNA  to  file  a 
brief  setting  out  the  attitude  of  stations  toward  the  Monopoly 
Committee's  report.  The  brief  was  subnitted  to  us  for  approval 
and  we  approve.  ' 

"I  do  want  to  protest  to  you,  however,  as  Chairman  of  the 
Commission,  what  I  consider  to  be  intimidation.  Whether  the  wire 
had  that  purpose,  its  wording  and  its  preemptory  nature  will  cer¬ 
tainly  have  that  effect.  I  do  not  know  any  reason  why  the  stations 
affiliated  with  the  networks  should  not  make  their  position  known 
to  the  full  Commission,  particularly  when  a  report  of  a  committee 
of  the  Commission  charges,  in  effect,  that  the  stations  are  not  ful¬ 
filling  their  public  duty. 

-  2  - 


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"The  full  Commission,  you  told  me,  has  not  had  the  oppor¬ 
tunity  to  study  the  question  and  has  set  oral  arguments  for  the 
purpose  of  receiving  further  information  and  views.  It  seems  to  me 
that  the  Commission  would  welcome  a  statement  of  the  position  of 
affiliates,  no  matter  whether  it  embraced  that  position  or  not. 

"If  the  Commission  was  interested  in  knowing  whom  Mr. 

Segal  represented,  it  could  have  required  from  him  written  author¬ 
ization  of  signatures  to  the  brief;  or  when  he  appeared  to  argue  it, 
could  have  required  him  to  make  a  showing  of  representation;  or 
could  have  denied  him  the  right  to  be  heard  if  he  could  not  make  a 
showing.  As  a  lawyer  I  know  you  will  recognize  that  as  a  fair  and 
just  and  regular  procedure. 

"I  do  not  believe  the  Commission  as  a  whole  would  ever 
have  authorized  such  a  telegram  as  was  sent  out.  I  must  say  that 
it  strikes  me  as  a  violent  departure  from  any  procedure  of  demo¬ 
cratic  government. 

"I  cannot  refrain  from  adding  a  more  personal  word.  As 
you  may  know,  I  was  a  New  Dealer  before  anybody  in  the  present 
admini stra.tion  ever  said  he  was,  and  all  my  adult  life  I  have  fought 
the  same  sort  of  evils  you  have.  Moreover,  I  have  done  all  I  could 
in  the  radio  industry  to  bring  it  to  an  acceptance  of  the  necessity 
and  desirability  of  regulation.  But  this  sort  of  thing  seems  to  me 
irresponsible  regulation  and,  worse  than  that,  a  form  of  tyranny 
which  I  do  not  like  in  any  form. 

"Sincerely  yours, 

(Signed)  Mark  Ethridge" 


Because  of  the  fact  that  only  oral  arguments  will  be  pre¬ 
sented  and  that  no  witnesses  are  to  be  heard,  the  announcement 
stipulated  only  two  days  for  the  hearing  scheduled  to  begin  next 
Monday.  If,  however,  especially  in  view  of  the  storm  of  protests 
raised,  they  finish  in  that  length  of  time,  it  will  be  a  world’s 
record  for  the  FCC  which  has  a  way  of  drawing  things  out.  The  tele¬ 
vision  hearings  were  only  scheduled  to  last  a  couple  of  days  but 
lasted  more  nearly  a  couple  of  weeks. 

Also  it  was  said  at  the  Commission  (Nov.  25)  that  there 
would  be  no  postponement,  as  had  been  rumored,  but  that  the  hearings 
would  go  ahead  as  scheduled  December  2. 

XXXXXXXX 

The  N.  Y.  Consolidated  Edison  Company  keeps  hammering  away 
in  its  advertising  at  what  one  cent’s  worth  of  electricity  will  buy, 
including  always  a  reference  to  radio,  the  one  recently  reading: 

"One  penny’s  worth  of  electricity  will  bring  you  a  whole  world  of 
radio  entertainment  for  nearly  four  hours. " 

XXXXXXXX 
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11/26/40 


FCC  CONFIRMS  GREAT  LAKES  RADIO  RATE  CASE  RULING 


The  Lorain  County  (Ohio)  Radio  Corporation  and  Thome 
Donnelley,  the  latter  doing  business  as  Donnelley  Radio  Teleohone 
Company,  must  refrain  from  certain  illegal  rate  practices  in  con¬ 
nection  with  radiotelephone  service  between  their  land  stations  and 
ships  on  the  Great  Lakes  as  a  result  of  the  Federal  Communications 
Commission  making  final  its  proposed  report  made  oublic  October  9th, 
at  which  time  the  FCC  found  unreasonable  the  rate  schedules  of  $25 
a  month  ready-to-serve  charge  per  ship  plus  charges  of  75/  to  $1.00 
for  each  three  minute  message,  and  another  rate  of  $1.50  per  message 
for  occasional  users  of  radiotelephone  service  between  ships  on  the 
great  Lakes  and  Lorain  Corporation  stations  at  Lorain,  Ohio,  Duluth, 
and  Port  Washington,  Wisconsin. 

The  Lorain  Corporation  is  further  required  to  cancel  its 
tariff  schedules  providing  for  the  ready-to-serve  charge  of  $25  a 
month,  on  or  before  February  1,  upon  notice  to  the  Commission  and 
to  the  general  public  by  not  less  than  30  days'  filing  and  posting 
in  the  manner  prescribed  by  the  Communications  Act  and  Commission 
rules  and  regulations. 

No  party  to  the  proceedings  having  filed  exceptions  to 
the  proposed  report,  the  final  order  is  made  effective  December  23. 

xxxxxxxxx 


NATIONAL  FREQUENCY  BROADCASTS  RESUMED  AFTER  FIRE 


Following  the  destruction  by  fire  of  the  standard  frequency 
station  WWV  of  the  National  Bureau  of  Standards,  a  temporary  trans¬ 
mitter  was  established  in  another  building  which  Dr.  J.  H.  Dellinger 
now  advises  has  begun  a  reduced  service.  It  broadcasts  the  frequency 
five  megacycles  (  =  5000  kilocycles)  per  second,  every  day  (except 
Sunday)  from  10  A.M.  to  midnight.  This  is  continuous-wave  only, 
with  telegraphic  code  announcements  of  the  call  letters  WWV  every 
20  minutes.  The  accuracy  of  the  frequency  is  the  same  as  in  the 
past,  viz,  better  than  a  part  in  ten  million. 

The  broadcast  is  from  a  1-kilowatt  transmitter.  Generally 
speaking,  it  is  most  useful  for  moderate  distances  in  the  daytime 
and  long  distances  at  night.  More  precisely:  for  receotion  in 
locations  reasonably  free  from  interference,  it  is  receivable  at 
all  distances  up  to  1000  miles  from  Washington  in  the  middle  of  the 
day.  The  distance  range  increases  after  about  4  P.M.  (E3T)  until  at 
night  the  broadcast  is  receivable  throughout  the  United  States; 
sometimes  at  night  it  may  be  difficult  to  receive  it  at  distances 
between  50  and  500  miles  while  it  is  easy  to  receive  it  beyond  500 
railes.  In  the  spring  the  daytime  distance  range  will  decrease, 
dropping  to  about  500  miles  in  the  summer. 


4 


11/26/40 


This  restricted  service  will  continue  for  some  months. 

As  rapidly  as  possible  the  Bureau  will  establish  a  new  station  to 
provide  more  fully  than  in  the  past  standard  frequencies  receivable 
at  all  times  throughout  the  country.  These  will  include  standard 
radio  frequencies,  standard  seconds  pulses,  and  the  standa.rd  of 
musical  pitch,  440  cycles  per  second,  which  will  unfortunately  not 
be  available  during  the  period  in  which  the  temporary  transmitter 
is  used. 

XXXXXXXX 


FCC  GRANTS  POWER  INCREASES;  OTHER  APPLICANTS 


The  following  stations  have  been  granted  power  increases 
by  the  Federal  Communications  Commission: 

Station  WTSP,  Pinellas  Broadcasting  Co.,  increased  to 
1  KW  LS,  500  watts  night;  Station  WJBO,  Baton  Rouge  Broadcasting 
Co. ,  Inc. ,  Baton  Rouge,  La.  ,  to  5  KW;  Station  WISN,  Hearst  Radio, 
Inc.,  Milwaukee,  Wis. ,  increased  to  5  KW;  Station  WORL,  Broadcasting 
Service  Organization,  Inc.  ,  Boston,  Mass. ,  increased  to  1  KW  daytime 
only,;  WDEL,  WDEL,  Inc.,  Wilmington,  Del.,  increased  to  5  KW;  WAPO, 

W.  A.  Patterson,  Chattanooga,  Tenn. ,  to  1  KW  night,  5  KW  LS. 

The  Commission  also  granted  a  construction  permit  for  a 
new  station  to  the  Kokomo  Broadcasting  Corp. ,  Kokomo,  Ind. ,  on  1420 
kc. ,  250  watts,  unlimited  time. 

Two  more  stations  -  WINS,  Hearst  Radio,  Inc.,  New  York 
City,  and  KQW,  Pacific  Agricultural  Foundation,  Ltd.,  San  Jose, 

Calif. ,  desire  to  increase  their  power  to  50  KW.  Station  WRCA,  the 
NBC  international  broadcasting  station  at  Bound  Brook,  N.  J.  ,  has 
asked  for  an  additional  35  kilowatts,  making  an  effective  operating 
power  of  70  kilowatts,  using  9670  kc.  ,  for  its  short-wave  service 
"throughout  the  world. 

Other  applicants  for  higher  power  are  WM3R,  Florida  Broad¬ 
casting  Co.,  Jacksonville,  Fla.,  seeking  10  KW;  Station  WCAO,  Monu¬ 
mental  Radio  Co. ,  Baltimore,  Md. ,  seeking  5  KW;  Station  WTAG, 
Worcester  Telegram  Publishing  Co.,  Worcester,  Mass.,  the  same; 

Station  WSOY,  Commodore  Broadcasting,  Inc.,  Decatur,  Ill.,  1  KW 
night. 

Arthur  Lucas  and  William  K.  Jenkins,  doing  business  as 
the  Chattahoochee  Broadcasting  Co.  ,  Columbus,  Ga.  ,  have  applied  for 
a  new  station  on  1420  kc. ,  250  watts,  unlimited  time. 

The  Travelers  Broadcasting  Service  Corp.  ,  Hartford,  Conn.  , 
was  granted  construction  permit  for  new  high  frequency  (FM)  broad¬ 
cast  station  to  operate  on  frequency  45,300  kc. ,  with  coverage  of 
6,100  square  miles;  General  Electric  Co.,  Schenectady,  N.Y.,  was 
granted  the  same  to  operate  on  frequency  to  be  specified  to  serve 
area  of  6,600  square  miles. 


X  X  X  X  X  X  X 
-  5  - 


11/26/40 


GERMANY  INTENSIFIES  S-W  PROPAGANDA  TO  U.  S. 


There  are  progressively  more  detailed  attacks  on  American 
institutions,  leaders  and  attitudes  on  international  affairs,  in 
propaganda  from  Germany  directed  at  the  United  States  through  broad¬ 
casts  of  the  German  short-wave  radio  stations  according  to  the 
Princeton  Listening  Center.  The  Listening  Center  is  a  project  of 
the  School  of  Public  and  International  Affairs  of  Princeton  Univer¬ 
sity,  and  is  financed  by  the  Rockefeller  Foundation.  It  was 
established  to  study  European  international  Broadcasting  in  wartime, 
with  particular  reference  to  broadcasts  directed  to  the  United 
State  s. 

Princeton  listeners  declare  that  direct  pressure  on 
listener-opinion  has  been  conspicuously  increased  in  German  short¬ 
wave  broadcasts  to  America.  In  many  respects,  they  say,  these 
broadcasts  are  strikingly  reminiscent  of  the  first  phase  in  Lord 
Haw-Haw's  campaign  against  British  morale.  Approximately  16  com¬ 
mentators  and  actors  on  the  German  short-wave  radio,  which  most  any 
good  set  is  capable  of  picking  up  and  hearing  clearly  in  the  United 
States,  are  engaged  in  trying  to  arouse  American  opinion  against 
"the  measures  short  of  war”  taken  by  the  United  States  on  behalf  of 
the  opponents  of  Germany. 

According  to  the  Princeton  report,  Fred  W.  Kaltenbach, 
reputedly  in  charge  of  the  broadcasts  to  this  country,  is  a  native 
of  Iowa.  According  to  his  own  testimony,  he  is  the  son  of  a  German 
immigrant  and  served  as  a  lieutenant  in  the  United  States  Coast 
Artillery  during  the  last  war.  Dr.  Otto  Koischwitz,  another  German 
commentator,  was  a  former  member  of  the  faculty  of  Hunter  College  in 
New  York  City. 

The  Princeton  listeners  state  that  the  direct  kinds  of 
pressure  radiated  from  Berlin  to  North  America  are  divided  into 


Containing  condemnation  of  Britain  in  her  relations  with 
the  United  States; 

Containing  praise  of  America  and  things  American; 
Containing  praise  of  Germany  for  her  relations  with  the 
United  States,  for  her  national  character  or  her  internal 
institutions;  and 

Containing  criticism  of  American  and  things  American.  n 

Although  this  Report  has  dealt  thus  far  with  German 
broadcasts  to  the  United  States  only,  certain  characteristics  have 
appeared  which  parallel  broadcasts  to  other  countries:  France  and 
Britain.  Certain  characteristics  of  the  German  technique  may  now 
be  set  forth: 


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"1)  The  basic  aim  of  German  broadcasts  was  to  inhibit 
or  paralyze  action  unfavorable  to  Germany  and  to  encourage  those 
attitudes  and  actions  which  might  be  turned  to  German  use. 


”2)  Although  provision  was  made  for  other  audiences, 
German  broadcasts  directed  their  primary  efforts  toward  the  masses. 

"3)  The  radio  voices  of  Berlin  were  those  of  the  country 
being  addressed. 

,f4)  The  initial  approach  of  the  Berlin  radio  to  its 
audiences  was  a  friendly  one. 

"5)  Appeals  were  based  on  the  self-interest  of  each 
audience,  and  so  presented  as  to  appear  framed  out  of  consideration 
of  what  was  good  for  the  country  of  reception. 

”6)  At  times  of  crisis,  the  German  radio  attempted  to 
frighten  various  countries  of  reception  by  exaggerating  the  crisis 
beyond  its  action  proportions. 

”7)  The  German  radio  sought  to  distract  the  attention 
of  its  audiences  from  events  abroad  by  the  discussion  of  purely 
domestic  issues. 


”8)  A  constant  attempt  of  German  broadcasts  was  to  divide, 
confuse  and  atomize  the  opposition  to  the  Reich. 


'*9)  German  broadcasts  frequently  foreshadowed  German  ac¬ 
tion  and  official  statements  of  policy. 


XXXXXXXXX 

ONE-MAN  PEACE  FOUNDATION  REQUEST  DENIED 


Upon  basis  of  unsatisfactory  showing  that  the  proposed 
experimental  work  would  be  in  the  interests  of  the  public  or  the 
radio  industry,  the  Federal  Communications  Commission  has  denied 
the  amended  aoplication  of  the  World  Peace  Foundation  (Abraham 
Binneweg,  Jr.")  for  a  construction  permit  to  erect  a  new  develop¬ 
mental  broadcast  station  at  Oakland,  Calif. ,  and  to  operate  port¬ 
able  mobile. 


The  Commission  points  out  that  the  applicant,  World  Peace 
Foundation,  is  not  in  fact  an  existing  organization,  but  is  merely 
a  name  which  Abraham  Binneweg,  Jr.,  expects  to  establish  to  be  used 
in  connection  with  his  future  plans  in  radio. 


XXXXXXXXX 


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11/26/40 


CUBA  ESTIMATED  TO  HAVE  200,000  SETS 


Although  there  have  been  no  attempts  to  make  a  direct 
survey  or  census  of  radio  sets  in  use  in  Cuba,  a  report  made  to  the 
Bureau  of  Foreign  and  Domestic  Commerce  by  Assistant  Commercial 
Attache  Charles  H.  Ducote,  at  Havana,  the  conclusion  is  reached 
that  at  the  end  of  1939,  there  were  in  use  about  150,000  socket 
power  sets.  The  estimated  number  of  battery  and  crystal  sets  is 
50,000. 

Annual  sales  of  sets  are  believed  to  approximate  the 
importations  as  dealers  make  a  strong  effort  to  close  out  their 
stocks  before  new  models  come  in.  Last  year's  sales  are  consider¬ 
ed  to  have  approximated  26,000  sets,  as  compared  with  about  23,000 
in  1938. 

Although  a  larger  number  of  sets  were  sold  in  1939  than 
in  the  previous  year,  the  dollar  value  of  sales  was  lower.  General 
economic  conditions  on  the  island  during  1939  were  less  satisfact¬ 
ory  than  in  1938  and  business  volume  as  a  whole  was  less  by  a  small 
percentage. 

Last  year  Imports  of  radio  sets  consisted  of  about  50 
brands.  Practically  ail  of  the  import  manufacturers  in  the  United 
States  are  represented  in  Cuba,  and  in  consequence  comoetition  is 
active  and  keen.  The  two  leading  brands  account  for  about  46  percent 
of  total  sales  and  the  first  6  makes  over  70  percent. 

No  separate  statistics  as  to  the  proportion  of  imports  of 
sets  or  of  automobiles  represented  by  separate  or  installed  automo¬ 
bile  sets  are  available.  Automobile  registrations  numbered  27,679 
at  the  end  of  1939,  including  public  vehicles.  Dealers  are  of  the 
opinion  that  the  number  of  cars  equipped  with  radio  has  steadily 
increased;  current  estimates  are  that  about  10  percent  now  have  sets 
installed.  Distributors  consider  that  the  potential  demand  is  very 
large. 

One  of  the  important  afternoon  daily  newspapers  in  Havana 
has  given  some  consideration  to  facsimile  broadcasting,  but  radio 
distributors  do  not  expect  a  sufficient  public  interest  to  be  opti¬ 
mistic  about  a  market  for  receivers.  Frequent  news  broadcasts,  to¬ 
gether  with  newspapers  in  the  Spanish  and  English  languages,  con¬ 
tribute  to  the  limitations  on  interest. 

There  is  no  domestic  radio  industry,  and  imports  of  parts 
are  confined  to  servicing  requirements.  Imports  of  parts  total 
$50,000  to  $60,000  annually.  Those  most  required  are  transformers, 
fixed  condensers,  variable  condensers,  fixed  resistances,  and  simi¬ 
lar  items. 

XXXXXXXXX 
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11/26/40 


TRADE  NOTES 


The  Federal  Communications  Commission  has  scheduled  a 
conference  of  engineers  for  Monday,  December  9,  at  the  Commission 
in  Washington  to  discuss  power  range  of  FM  transmitters,  perform¬ 
ance  of  audio  amplification  equipment  and  other  high  frequency 
problems  having  to  do  with  FM. 


Gross  factory  sales  of  Philco  Corp.,  exclusive  of  its 
Canadian  subsidiary,  amounted  to  $40, 933, 890  in  the  first  10  months 
of  1940,  as  compared  with  $32,888,700  in  the  corresponding  period 
of  last  year,  an  increase  of  24  percent,  it  was  announced  by  Larry 
E.  Gubb,  Executive  Vice  President  of  the  Philco  Corp. 


Harris  E.  Yarbrough,  Jr. ,  an  amateur  operating  Station 
W5IPC  at  Dallas,  Texas,  has  had  his  license  suspended  for  three 
months  for  re-transmitting  programs  from  Station  KRLD  at  Dallas, 
and  causing  interference  to  the  reception  of  certain  radio  broad¬ 
cast  programs. 


The  Bureau  of  Foreign  and  Domestic  Commerce  has  issued 
"Radio,  Telephone,  Telegraph”  bulletins  (formerly  ”World  Radio 
Markets”)  on  the  British  Cable  System,  Bolivia,  Liberia  and 
Afghanistan. 


Equipment  of  autos  with  radios  by  manufacturers  on  cars 
for  the  American  market  totalled  1,359,876  sets  in  1939,  the  Census 
Bureau  reports. 


R.C.A.  Communications,  Inc.,  at  Bolinas,  Calif.,  has  been 
granted  temporary  authority  by  the  Federal  Communications  Commis¬ 
sion  to  communicate  with  the  Radio  Administration  of  the  USSR  at 
Khabarovsk,  Russia,  for  the  purpose  of  determining  the  effective¬ 
ness  of  available  communicating  facilities  between  Khabarovsk  and 
San  Francisco. 


United  Airlines  are  all  set  to  relay  to  Station  WLS,  the 
broadcast  of  the  "Flight  of  Santa  Claus  into  Chicago”  on  22790  kc. 


Applications  for  the  following  attorneys  to  practice 
before  the  Federal  Communications  Commission  were  approved: 
Franklin  Cary  Salsbury,  Cleveland,  Ohio,  and  Victor  R.  Wolder, 
New  York  City. 


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11/26/40 


Ten  new  stations  will  join  the  NBC  Blue  Network  in  the 
South  December  15.  They  are:  WGAC,  Augusta,  Ga. ,  WCBT,  Roanoke 
Rapids,  N.C. ,  WEED,  Rocky  Mount,  N.  C.  ;  WMFD,  Wilmington,  N. C. ; 
WMFR,  High  Point,  N. C. ,  WGNC,  Gastonia,  N.C. ,  WHKY,  Hickory,  N. C. ; 
WCOS,  Columbia,  S.  C. ,  WJHL,  Johnson  City,  Term. ,  and  WHIS,  Blue- 
field,  W.  Va. 


The  General  Electric  Company  at  New  Scotland,  N.  Y. ,  has 
been  authorized  to  change  the  channel  of  its  relay  television  sta¬ 
tion  to  162,000-168,000  kc. 

XXXXXXXXXX 


McDonald  advocates  gliders  for  air  training 


A  cure  for  a  possible  future  shortage  of  pilots  to  fly 
the  thousands  of  bombers,  pursuit  ships,  fighters  and  reconnaissance 
planes  to  result  from  the  workings  of  the  defense  program,  is  pro¬ 
posed  by  Commander  E.  F.  McDonald,  Jr.  ,  well-known  radio  manufactur¬ 
er  of  Chicago,  in  an  article  entitled  "Silent  Wings"  appearing  in 
the  November  30th  issue  of  Colliers  now  on  the  news-stands. 

America  may  well  take  a  lesson  from  the  Nazis  and  train 
hundreds  of  thousands  of  young  pilots  in  inexpensive  motorless 
gliders,  states  Commander  McDonald.  The  ink  was  hardly  dry  on  the 
Versailles  Treaty  before  Germany  started  encouraging  her  boys  to 
soar.  "The  defense  of  America  is  guaranteed",  says  Commander 
McDonald,  "if  over  the  plains  of  New  York  and  Jersey  and  Iowa  and 
Texas  American  boys  learn  to  soar  the  air. " 

He  claims  beginners  can  start  their  training  more  safely 
and  with  less  expense  in  gliders  than  in  motor-driven  planes,  and 
that  glider  trained  pilots  are  eventually  more  at  home  in  the  air 
when  they  graduate  to  motorized  ships  because  they  know  their  air 
currents  more  intimately.  To  supoort  these  statements  he  quotes 
from  well-known  airmen,  among  them  Captain  Eddie  Rickenbacker; 

Maj.  R.  W.  Schroeder,  Vice  President  of  United  Airlines;  Maj.  A1 
Williams,  well-known  aeronautical  writer,  and  others. 

The  author  calls  attention  to  the  fact  that  America  has 
54,000  radio  amateurs,  an  abundance  of  born  radio  operators  for  our 
Signal  Corps  who  can  service  and  operate  radio  transmitters  and 
receivers  without  any  training  except  in  the  technique  of  war  com¬ 
munications,  and  points  out  that  this  is  a  fact  because  these  "hams" 
were  permitted  to  tinker  with  coils  of  wire,  tubes  and  condensers 
at  will.  He  pleads  that  American  youth  be  given  a  chance  to  emerge 
from  the  "rubber  band"  stage  of  model  airplane  building  and  be  allow¬ 
ed  to  fly  real  planes,  inexpensive  motorless  planes,  which  he  says 
are  well  within  the  means  of  many  individuals.  For  those  who  cannot 
afford  an  individual  glider,  his  solution  is  the  formation  of  thous¬ 
ands  of  glider  clubs,  either  under  government  or  community  subsidy. 
Much  informative  material  is  given  showing  how  such  groups  can  be 
quickly  organized  at  little  exoense. 

XXX'XXXXX 


10  - 


11/26/40 


MANUFACTURERS  TO  SCRUTINIZE  OWN  ADS 


A  Committee  on  Advertising,  composed  of  leading  advertis¬ 
ing  and  sales  promotion  managers,  appointed  by  the  Radio  Manufactur¬ 
ers  and  headed  by  John  S.  Garceau  of  the  Farnsworth  Radio  Corpora¬ 
tion,  Fort  Wayne,  Ind. ,  will  act  to  survey  industry  advertising  and 
establish  desirable,  ethical  and  technically  correct  advertising 
standards  and  practices. 

The  broad  objective  is  to  have  the  industry  itself  develop 
proper  advertising  practices,  to  avoid  possible  criticism  of  the 
public,  Better  Business  Bureaus  and  government  agencies.  The  work 
of  the  Committee  on  Advertising,  which  will  hold  an  initial  meeting 
early  in  December,  will  be  entirely  on  a  voluntary  and  cooperative 
basis,  without  conflict  with  any  other  agency  or  action  of  any 
individual  company. 

Besides  Mr.  Garceau,  the  following  are  the  members  of  the 
new  committee : 

Clifford  C.  Dewees,  Advertising  and  Sales  Promotion 
Manager,  Stewart -Warner  Corp. ,  Chicago;  P.  G.  Gillig,  Sales  Promo¬ 
tion  Manager,  Emerson  Radio  &  Phonograph  Corp. ,  New  York;  P.  F. 
Hadlock,  Manager,  Receiver  Sales  Division,  General  Electric  Co. , 
Bridgeport,  Conn.;  Victor  A.  Irvine,  Sales  Promotion  Manager,  Galvin 
Manufacturing  Corp.,  Chicago;  Thomas  F.  Joyce,  Advertising  and  Sales 
Promotion  Manager,  RCA  Manufacturing  Co.,  Inc.,  Camden,  N.  J. ; 

L.  Martin  Krautter,  Advertising  and  Sales  Promotion  Manager,  The 
Crosley  Corp.,  Cincinnati,  Ohio;  Lee  McCanne,  Assistant  General 
Manager,  Stroraberg- Carlson  Telephone  Mfg.  Co.,  Rochester,  N.Y.  , 
and  Sayre  M.  Ramsdell,  Advertising  and  Sales  Promotion  Manager, 
Philco  Corp.  ,  Philadelphia,  Pa. 

xxxxxxxxx 


PITTSBURGH  TO  HAVE  RADIO  WEEKLY 


Darrell  V.  Martin,  pioneer  Pittsburgh  radio  editor, 
announces  that  he  will  publish  a  new  weekly  devoted  to  radio  pro¬ 
grams  that  will  have  over  3,000  paid  subscribers  before  the  first 
copy  goes  to  press  December  21.  Among  those  who  have  already  sub¬ 
scribed  are  Niles  Trammell,  President  of  the  National  Broadcasting 
Company;  Frank  Mullen,  General  Manager  of  NBC,  Ted  Weber  of  the 
Columbia  Broadcasting  System;  Lester  Gottlieb  and  Jerry  Danzig  of 
the  Mutual  network.  Also  Kay  Kyser,  Amos  1  n’  Andy,  Hal  Kemp  and 
numerous  other  radio  stars.  The  price  is  $2.00  a  year  and  the 
address  P.  0.  Box  111,  Pittsburgh,  Pa. 

XXXXXXXX 


11  - 


11/26/40 


TRANSRADIO  ACCUSED  IN  DIES  REPORT 


Correspondence  which  the  Dies  Committee  said  was  exchanged 
by  Dr.  Manfred  Zapo,  head  of  the  German  Transocean  News  Service  and 
the  American  Transradio  Press,  was  included  in  the  Dies  "White 
Paper”  report. 

"In  the  event  that  the  South  American  reception  was 
faulty”,  the  report  said,  "Berlin  immediately  advised  Zapp  in  New 
York.  Thereupon  Dr.  Japp  took  this  matter  up  with  the  Transradio 
Press  Service  which  service  appears  to  be  not  only  the  receiving 
agency  for  Transocean,  but  also  the  transmitting  agency. 

"This  fact  is  further  substantiated  from  an  examination 
of  the  Transocean  financial  records  in  which  it  is  disclosed  that 
for  the  period  from  Jan.  1,  1939,  to  Aug.  1,  1940,  Transocean  News 
Service  paid  Transradio  Press  Service  the  sum  of  $544,387.91.  " 

Herbert  Moore,  President  of  Transradio  News  Service, 
replied  that  the  Dies  Committee,  "in  its  zeal  to  combat  subversive 
influences,  has  made  public  certain  disclosures  which  have  the 
unfortunate  effect  of  misrepresenting  the  entirely  legitimate  con¬ 
nections  which  have  existed  between  American  press  services  and 
Gorman  news  organizations. 

"It  is  well  known  that  Transradio  and  other  American  news 
services  have  scrupulously  guarded  against  all  kinds  of  totalitarian 
propaganda  although  they  have,  by  necessity  maintained  working 
press  agreements  with  German  and  other  foreign  news  agencies. " 

xxxxxxxxx 


G.  E.  SHOWS  ITS  TELEVISION  COLORS 


Dr.  E.  F.  W.  Alexanderson  demonstrated  his  color  televi¬ 
sion  system  to  members  of  the  National  Television  Systems  Committee 
and  George  Henry  Payne  of  the  federal  Communications  Commission  in 
Schenectady  last  week.  It  was  a  special  broadcast  from  the  General 
Electric  television  transmitter  to  a  standard  receiver  in  his  home. 

xxxxxxxxxx 

An  Ohio  letter- writer  to  the  Federal  Communications  Com¬ 
mission  objects  to  certain  Berlin  broadcasts.  The  programs  in 
question  are  not  rebroadcast  but  are  received  from  Berlin  direct. 

The  Commission  does  not,  of  course,  have  jurisdiction  over  alien 
stations. 

XXXXXXXX 


12  - 


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Heinl  Communications  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  NOVEMBER  29,  1940 


Josh  Radio  Birthday  Party  During  Air  Raid . 2 

Radio  And  What  It  Did  In  Campaign  Discussed . 4 

Broadcasters  See  400  Stations  Doing  ASCAP  Job . 5 

Power  Increases  Continue . 6 

Defense  Board  Appointments  Now  Being  Made . 7 

FCC  Proposes  Restrictions  To  Govern  Radio  Networks . 8 

Foresees  Radio  Eliminating  AP  Wire  System . 9 

Are  Our  S-W  Programs  Getting  Through? . 9 

Trade  Notes . 10 

Engineers  To  Confer  On  FM  Transmitters . 11 

Historical  Booklet  Marks  Television’s  First  Birthday . 12 


JOSH  RADIO  BIRTHDAY  PARTY  DURING  AIR  RAID 


There  was  a  real  thrill  for  those  attending  the  dinner 
in  Washington  celebrating  the  20th  anniversary  of  American  radio 
when  it  was  revealed  that  three  American  news  commentators  being 
heard  by  the  500  diners  direct  from  London  last  Tuesday  night  - 
Ed  Moore  of  Columbia,  John  Steele,  of  Mutual,  and  Fred  Bates,  of 
NBC  -  were  actually  broadcasting  while  an  exciting  air  raid  was 
going  on  over  London.  It  was  some  time,  however,  before  those 
present  at  the  dinner  had  any  indication  of  this.  Certainly  from 
the  fecetious  comment  exchanged  between  Abe  Schechter,  chief  of 
NBC  news  broadcasts,  who  staged  the  banquet  broadcast,  and  the 
commentators  abroad,  quite  the  ooposite  was  indicated.  It  was  a 
two-way  conversation  and  one  of  the  first  questions  Mr.  Schechter 
asked  London  was  regarding  their  censorship  problems. 

"How  in  the  heck  can  we  tell  you  that",  one  of  the  com¬ 
mentators  shot  back,  ’’when  the  censor  is  sitting  here  beside  us?" 
Apparently  he  was  a  pretty  good  censor  because  after  awhile  the 
Americans  in  London  succeeded  in  putting  him  on  the  air. 

"It  is  not  true  that  we  fight  every  night  over  what  is 
to  be  censored  and  what  is  not"  the  British  censor  told  the  radio 
gathering  in  Washington.  "Sometimes  we  only  fight  every  two 
nights,  but  the  censor  always  wins. " 

One  of  the  commentators  in  London  complained  that  he 
had  been  matching  coins  with  one  of  his  colleagues  but  never  could 
seem  to  win.  Whereupon  he  asked  Mr.  Schechter  to  match  him.  "I 
have  heads",  the  man  in  London  said.  "I  have  tails",  Mr.  Schechter 
replied  from  Washington,  and  the  audience  roared. 

Finally,  almost  at  the  conclusion  of  the  broadcast,  Mr. 
Schechter  asked,  "Is  there  an  air  raid  on  in  London  now?”  There 
was  a  sudden  silence  at  the  other  end  of  the  line.  Evidently  the 
commentators  were  consulting  with  the  censor.  Finally  one  of  them 
replied  with  a  crisp  "Yes".  Whereupon  Mr.  Schechter  said,  "Are  you 
broadcasting  from  underground?"  There  was  another  pause  and  a  com¬ 
mentator  replied  "Somewhat". 

Neville  Miller,  President  of  the  National  Broadcasting 
Association,  started  the  ball  rolling  at  the  dinner  by  inviting 
all  of  those  who  had  been  in  radio  for  twenty  years  to  step  for¬ 
ward  and  cut  the  birthday  cake.  Among  those  who  responded  were: 

Judge  A.  L.  Ashby,  Vice-President  and  General  Counsel  of 
NBC;  Ed.  Cohan,  Vice-President  of  CBS;  Commissioner  T.  A.  M.  Craven. 
Arthur  Church,  KMBC,  Kansas  City,  Mo.;  G.  W.  Johnstone,  formerly 
with  the  Democratic  National  Committee,  and  F.  P.  Guthrie  of  R.  C.  A. 
Communications  in  Washington. 

-  2  - 


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11/29/40 


Letters  from  President  Roosevelt  and  Wendell  L. 

Willkie  (Mr.  Willkie's  first  and  receiving  tremendous  applause) 
were  read.  The  President  wrote  in  part: 

"Today  the  need  is  greater  than  ever  that  broadcasting 
should  perform  its  function  as  a  medium  of  public  information. 
Factual  and  accurate  news  made  available  to  all  of  our  people 
is  a  basic  essential  of  democracy.  Radio  has  done  its  Job  well 
in  this  field.  Elsewhere  radio  and  the  press  are  instruments  of 
the  state,  used  by  dictators  without  regard  for  truth  or  justice. 

I  reaffirm  to  you  my  belief  that  democracy  will  not  tolerate  any 
attempts  at  domination  or  control  by  government  at  the  free  and 
open  avenues  of  public  information.  The  best  assurance  that  this 
will  continue  to  be  so  is  the  proper  discharge  of  the  public  res¬ 
ponsibilities  by  those  who  operate  these  media.  *  *  *  * 

"Your  government  has  no  wish  to  interfere  or  hinder  the  con¬ 
tinued  development  of  the  American  system  of  broadcasting.  Radio 
was  born  and  developed  in  the  real  American  way  and  its  future 
must  continue  on  that  basis. " 

Mr.  Willkie  wrote: 

"Those  closely  associated  with  radio  broadcasting  in  this 
country  can  take  pride  in  this  achievement,  as  well  as  in  the  fact 
that  they  have  kept  the  ether  waves  clear  for  free  expressions  of 
all  shades  of  thought.  As  one  who  has  just  come  through  a  nation¬ 
al  political  campaign  as  a  major  participant,  I  can  bear  testimony 
to  the  fairness  and  high  sense  of  responsibility  of  those  in  con¬ 
trol  of  our  radio  facilities.  May  it  ever  be  so.  A  free  radio, 
along  with  a  free  press,  constitutes  the  cornerstone  of  a  system 
of  free  men.  " 

John  Charles  Thomas  sang  and  there  was  other  entertain¬ 
ment  including  a  special  broadcast  of  the  American  Forum  of  the 
Air  with  notables  discussing  the  past  and  present  of  broadcasting. 
Among  those  seated  at  the  guest  table  were: 

Hon.  Jesse  Jones,  Secretary  of  Commerce,  U.  S.  Depart¬ 
ment  of  Commerce;  Senator  Sherman  Minton  of  Indiana,  Senator  H.  H. 
Schwartz  of  Wyoming;  Senator  Elbert  D.  Thomas  of  Utah;  Senator 
C.  Wayland  Brooks;  Gen.  George  C.  Marshall,  Chief  of  Staff,  U. S. 
Army;  Ma j .  Gen.  J.  0.  Mauborgne,  Chief  Signal  Officer,  U. S.  Army; 
Breckenridge  Long,  Assistant  Secretary  of  State;  Norman  S.  Case, 
FCC  Commissioner;  T.A.M.  Craven,  FCC  Commissioner;  James  L.  Fly, 
Chairman,  FCC;  Paul  A.  Walker,  FCC  Commissioner;  Harry  B.  Mit¬ 
chell,  U.  S.  Civil  Service  Commissioner;  Thomas  Burke,  Chief, 
Division  of  International  Communications,  Department  of  State; 

John  Benson,  President,  American  Association  of  Advertising 
Agencies;  Paul  B.  West,  President,  Association  of  National 
Advertisers;  Bond  Gedaes,  Executive  Vice  President,  Radio  Manu¬ 
facturers'  Association;  Harold  Lafount,  President,  National 
Independent  Broadcasters;  Edward  Klauber,  Executive  Vice  Presi¬ 
dent,  CBS;  Theodore  C.  Streibert,  Vice  President,  Mutual  Broad¬ 
casting  System;  and  Frank  Mullen,  Executive  Vice-President,  NBC. 

xxxxxxxx 

-  3  - 


11/29/40 


RADIO  AND  WHAT  IT  DID  IN  CAMPAIGN  DISCUSSED 


Declaring  that  before  allowing  the  details  of  the  recent 
political  campaign  to  fade  from  memory,  it  should  be  praised, 
Chairman  James  L.  Fly  of  the  Federal  Communications  Commission, 
in  a  broadcast  over  NBC,  said:  "New  that  the  campaigns  have 
closed,  I  want  to  suggest  that  we  flash  to  this  great  industry 
the  signal  ’Well  done'." 

Chairman  Fly  continued: 

"As  radio  has  gained  this  important  ground  other  media 
of  information  have  hardly  held  their  own.  This  contrast  we  have 
all  noted  with  disappointment.  We  all  know  that  for  self-govern¬ 
ment  to  thrive,  our  basic  instruments  for  the  dissemination  of 
information  must  be  vigilently  guarded  and  fostered.  No  special 
financial  or  political  interest  should  control  their  policies. 
Their  primary  function  must  be  service  to  the  public.  If  in 
purporting  to  bring  facts  to  the  people,  truth  is  distorted  for 
selfish  ends,  that  is  not  democracy  -  it  is  something  else.  We 
should  be  grateful  that  radio  has  not  chosen  such  a  path  for  it¬ 
self. 

"The  right  of  the  people  to  have  radio  used  for  the  com¬ 
munication  of  information  and  exchange  of  ideas,  fairly  and 
objectively  presented,  has  been  recognized  by  the  broadcasting 
industry  not  only  in  theory  but  in  practice.  I  can  tell  you  that 
by  far  the  greater  part  of  the  industry  is  becoming  scrupulous  in 
its  attempts  to  carry  that  idea  forward.  It  is  true  that  differ¬ 
ences  of  opinion  may  arise  as  to  just  how  far  that  approach  should 
be  taken.  Should  commentators  be  permitted  to  peddle  their  spon¬ 
sors'  views  under  the  guise  of  news  commentary?  Should  news 
reporters  be  permitted  to  inject  their  own  or  their  sponsor' s 
views  into  ostensible  factual  reporting?  But  those  are  at  present 
subsidiary  matters.  The  important  thing  is  that  the  basic  prin¬ 
ciple  of  objectivity  has  been  accepted  and  placed  into  practice. 
Today  the  adoption  of  an  editorial  policy  by  a  licensee  of  a 
broadcast  station  is  virtually  unknown.  *  *  * 

"Whatever  any  one  of  us  may  have  thought  of  the  various 
individuals  competing  for  public  office,  whatever  our  agreement 
or  disagreement  with  what  any  one  of  them  may  have  said  or  stood 
for,  none  of  us,  I  think,  can  say  that  his  candidates  were  not 
afforded  ample  and  repeated  opportunity  to  explain  their  views  to 
the  electorate.  And,  most  significant,  the  opportunities  were 
equal  for  all. 

"Of  course,  radio  has  certain  advantages  in  reaching  the 
people.  It  has  warmth;  it  has  intimacy,  it  can  be  present  every¬ 
where  at  the  same  time.  By  radio  the  candidate’s  personality  is 
projected  to  your  fireside.  You  are  able  to  judge  for  yourself 
his  sincerity  and  the  depth  of  his  feeling.  In  this  last  campaign 
in  which  radio  was  used  more  intensively  than  ever,  all  of  these 
advantages  of  radio  stood  out  clearly.  They  were  abetted  by  the 
policy  of  equality  adopted  by  the  broadcasters. 


4 


11/29/40 


"In  pleasant  contrast  to  the  acrimony  and  bitterness 
which  prevailed  among  newspaper  commentators  and  editorial 
writers,  radio  commentators  on  national  networks  and  local  sta¬ 
tions  generally  preferred  dispassionate,  analytical  discussions. 

It  was  to  be  expected  that  those  individuals  who  spoke  under  the 
auspices  of  a  political  party  would  deliver  partisan  discussions, 
most  of  which  were  reasoned  arguments  on  one  side  or  the  other  of 
particular  campaign  issues.  Occasionally  a  party- sponsored  com¬ 
mentator  would  indulge  in  name-calling  and  prejudice-stirring 
tactics,  inconsistent  with  the  good  taste  displayed  by  other 
partisan  radio  speakers.  But  the  radio-listening  audience  is  an 
acute  audience.  It  seeks  arguments  and  facts  and  not  name-call¬ 
ing.  In  one  of  the  outstanding  instances  of  bad  taste,  when  a 
speaker  attempted  to  incite  religious  antagonisms,  an  aroused 
public  demanded  and  received  an  apology  from  the  speaker.  *  *  # 

"Perhaps  the  outstanding,  unique  service  which  the  radio 
industry  performed  to  climax  its  service  to  the  electorate  was  its 
complete  and  timely  broadcast  of  election  returns.  Before  some 
voting  units  in  the  western  States  had  been  closed,  the  radio 
had  announced  the  partially  complete  election  returns  of  some 
eastern  States.  You  heard  instantly  that  the  Cleveland  Plain 
Dealer  had  conceded  Ohio.  You  kept  your  own  score  and  discovered 
trends  for  yourself.  You  were  aided  by  competent  vote  analysts 
who  kept  the  radio-listening  public  informed  of  their  views  on 
the  trends,  minute  by  minute.  Before  midnight  -  a  few  short 
hours  after  most  polls  closed  -  station  after  station  throughout 
the  country  carried  the  news  of  the  election  outcome.  " 

XXXXXXXXXX 


BROADCASTERS  SEE  400  STATIONS  DOING  ASCK?  JOB 


With  only  about  a  month  to  go  until  January  1st,  the 
time  when  the  National  Association  of  Broadcasters  are  expected  to 
make  good  their  threat  to  black  out  all  music  by  the  American 
Society  of  Composers,  the  broadcasters  have  issued  a  "white  paper", 
the  conclusions  of  which  are: 

"Broadcasting  stations  are  being  asked  what  is  behind  the 

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rumor  that  an  organization  called  A3CAP  intends  to  bar  from  the 
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radio  listen- 


"Broadcasting  stations  have  been  playing  A5CAP  music 
under  a  license  which  expires  December  31,  1940.  After  that  date 
they  cannot  play  ASCAP  music  without  violating  the  copyright  law. 
To  renew  the  license,  the  Composers  demand  that  every  radio  sta¬ 
tion  in  the  country  pay  them  a  substantial  percentage  of  all  its 
income  -  whether  that  income  is  from  music  programs  or  news 
broadcasts  and  other  programs  which  use  no  music  at  all.  These 


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11/29/40 


demands  exceed  $9,000,000  for  one  year.  Unless  these  demands  are 
met,  ASCAP ' s  music  is  to  be  'pulled  off  the  air'. 

"Whether  ASCAP  will  risk  public  attention  by  carrying 
out  its  threat,  no  one  knows.  It  may  bar  all  of  its  music  from 
the  air.  It  may,  in  addition,  try  by  publicity  to  make  the  vast 
radio  audience  aware  that  it  is  not  hearing  ASCAP  music.  *  *  * 

"Broadcasting  wants  to  give  its  radio  listeners  all 
of  the  best  of  all  kinds  of  music  -  including  music  represented 
by  ASCAP.  And  broadcasting  believes  that  song-writers  should  be 
paid  when  their  music  is  used  on  the  air.  That  is  what  copyright 
laws  are  for. *  *  * 

"Meanwhile,  broadcasting  is  prepared  this  time  for  such 
an  emergency.  All  of  the  music  of  the  people  who  are  not  members 
of  the  ASCAP  club,  all  of  the  music  of  other  licensing  agencies, 
dozens  of  whole  catalogues  of  music  have  been  made  available  to 
radio's  orchestra  leaders  and  program  directors. 

"And  in  order  to  amplify  and  make  this  music  more  read¬ 
ily  available  to  the  public,  broadcasting  stations  have,  at  their 
own  expense,  organized  Broadcast  Music,  Inc.,  which  is  gathering 
and  publishing  a  great  new  catalogue  of  music.  A  mutual  under¬ 
taking  by  400  radio  stations,  Broadcast  Music,  Inc.  will  do  the 
job  ASCAP  has  consistently  refused  to  do,  namely,  provide  an  open 
door  to  radio  audiences  for  all  composers  and  song-writers  who  can 
claim  the  right  to  a  hearing  on  the  air. 

"Broadcast  Music,  Inc.  filled  so  obvious  a  need  that  it 
has  become  a  great  force  almost  overnight.  Hundreds  of  composers 
and  lyric  writers  are  flocking  to  it.  Already  available  to  its 
subscribers  are  more  than  140,000  musical  numbers.  And  alreedy 
several  song-writers  -  ineligible  for  ASCAP  membership  and  un¬ 
likely  to  have  a  chance  at  any  income  from  ASCAP  for  years  even 
if  admitted  to  its  membership  -  have  started  on  the  road  to  for¬ 
tune  as  well  as  fame.*  *  * 

ASCAP  may  take  its  tunes  off  the  air.  You  will  still 
hear  the  great  music  which  you  love  and  which  belongs  to  America's 
cultural  tradition.  And  you  will  hear  fine  new  exciting  music. 
Perhaps  we  are  entering  a  new  period  in  radio's  history  when  radio 
audiences  will  have  the  thrill  of  watching  a  whole  new  group  of 
young  American  composers  make  their  bid  for  fame  and  fortune 
through  popularity  on  the  air. " 

XXXXXXXXXX 
POWER  INCREASES  CONTINUE 

Power  increases  were  granted  during  the  past  week  to 
WMT,  Iowa  Broadcasting  Co.  ,  Cedar  Rapids  for  1  to  5  kilowatts; 

WSJS,  Piedmont  Publishing  Co.,  Winston-Salem,  N.C.,  from  250 
watts  to  1  KW;  KROD,  Dorrance  D.  Roderick,  El  Paso,  Texas,  from 
250  watts  to  500  watts  night,  1  KW  LS;  WREC,  WREC  Broadcasting 
Service,  Memphis,  Tenn. ,  from  1  to  5  KW  night  power. 

Applications  were  received  by  WATR,  Waterbury,  Conn. , 
to  increase  power  from  250  watts  to  1  KW  and  KOL,  Seattle,  from 
1  to  5  KW. 

XXXXXXXXX 
-  6  - 


11/29/40 


DEFENSE  BOARD  APPOINTMENTS  NOW  BEING  MADE 


Up  to  now  about  the  only  appointments  that  have  been 
made  to  the  new  Defense  Communications  Board  are  Government  re¬ 
presentatives.  Invitations  in  the  form  of  letters  are  being  sent 
to  various  companies  and  groups  in  the  communications  industry 
asking  them  to  name  persons  for  such  service. 

It  was  said  at  the  Federal  Communications  Commission 
that  the  present  listing  was  not  final.  If  any  responsible 
company  is  overlooked,  the  door  is  still  open  on  appropriate 
representation.  Additional  Defense  Board  appointments  which 
have  been  announced  are: 

Amateur  Radio  Committee-  E.  M.  Webster,  Federal  Communica¬ 
tion  s~^ommI¥sTon;  Lt.  Cmdr.  John  L.  Reinartz,  Navy  Department; 

Maj.  Frank  C.  Meade,  War  Department. 

Aviation  Radio  Committee  -  E.  L.  Fnite,  Federal  Communica¬ 
tions  Commission;  Comdr.  A.  I.  Price,  Navy  Department;  Lt.  Cmdr. 

F.  A.  Leamy,  Treasury  Department,  Coast  Guard;  Ma j .  Wallace  G. 
Smith,  War  Department. 

Cable  Committee  -  J.  A.  Kennedy,  FCC;  Lt.  Cmdr.  R.  B.  Ellis, 
Navy  Department;  Ma j .  John  C.  Grable ,  War  Department. 

Domestic  Broadcasting  Committee  -  Lowell  Mellett,  Office  of 
Government  Reports;  Maj.  Frank  C.  Meade,  War  Department. 

Interdeoartment  Radio  Advisory  Committee  -  E.  W.  Love ridge, 
Dept,  of  Agriculture;  Dr.  J.  H.  Dellinger,  Dept,  of  Commerce; 

E.  K.  Jett,  FCC;  C.  D.  Monteith,  Dept,  of  Interior;  T.  D.  Quinn, 
Dept,  of  Justice;  D.  3.  Brierly,  U.  S.  Maritime  Commission; 

Adm.  S.  C.  Hooper,  Navy  Dept.;  Roy  M.  Martin,  P.0.  Dept.;  Thomas 
Burke,  Department  of  State;  Comdr.  J.  F.  Farley,  Treasury  Dept. ; 
Maj.  Gen.  J.  0.  Mauborgne,  War  Dept. 

International  Broadcasting  Committee  -  Nelson  Rockefeller, 
Coordinator  of  Commercial  and  Cultural  Relations  Between  the 
American  Republics;  Gerald  C.  Gross,  FCC;  Rear  Adm.  Stanford  C. 
Hooper,  Navy  Dept. ;  Lowell  Mellett,  Office  of  Government  Reports. 

Radiocommunications  Committee  -  E.  M.  Webster,  FCC.  ;  Comdr. 
R.  E.  Melling,  Navy  Dept. 

State  and  Municipal  Facilities  Committee  -  E.  L.  White,  FCC; 
Comdr.  John  R.  Redman,  Navy  Dept. ;  Lieut.  Comdr.  R.  J.  Mauerman, 
Treasury  Dept.;  Lieut.  Col.  R.  B.  Moran,  War  Dept. 

Telegraph  Committee  -  Mr.  W.  J.  Norfleet,  FCC;  Lieut.  Comdr. 
R.  B.  Ellis,  Navy  Dept. ;  Lieut.  Col.  Paul  C.  Gripper,  War  Dept. 

Telephone  Committee  -  A.  W.  Cruse,  FCC;  Comdr.  R.  E.  Melling, 
Navy  Dept. ;  Lieut.  Comdr.  L.  M.  Harding,  Treasury  Dept. ;  Maj. 

John  C.  Grable,  War  Dept. 

United  States  Government  Facilities  Committee  -  FCC  -  T.  L. 
Bartlett;  Comdr.  John  R.  Redman,  Navy  Dept.;  Lieut.  Comdr.  R.  J. 
Mauerman,  Treasury  Dept.;  Maj.  W.  T.  Guest,  War  Dept. 

xxxxxxxx 


7 


11/29/40 


FCC  PROPOSES  RESTRICTIONS  TO  GOVERN  RADIO  NETWORKS 


Tentative  regulation  of  broadcasting  networks  which 
would  curb  considerably  their  control  of  affiliated  stations  was 
disclosed  Thursday  by  the  Federal  Communications  Commission  as  it 
prepared  for  a  hearing  Monday  and  Tuesday  on  the  monopoly  report. 
The  Commission  labeled  the  regulations  as  '’suggestions"  and  listed 
several  with  alternatives.  It  explained  that  they  have  not  been 
approved  but  are  intended  to  focus  the  attention  of  counsel  for 
the  several  networks  on  issues  raised  in  the  report. 

The  Committee  report  has  not  yet  been  approved  by  the 
Commission  and  has  met  with  critical  opposition  from  the  networks, 
chiefly  the  Columbia  Broadcasting  System  which  he s  charged  that 
the  report  contained  serious  errors  in  fact  and  more  serious  in¬ 
sinuations. 

Among  the  regulations  "suggested"  by  the  FCC  are  the 

following: 

Discontinuance  of  the  network's  contractural  ban  against  an 
affiliate  carrying  other  chain  programs. 

Restrictions  on  the  ownership  of  stations  by  persons  "engaged 
in  network  broadcasting". 

Prohibition  against  network-affiliate  tieups  which  will 
result  in  the  duplication  of  a  chain  program  in  any  city. 

Limitations  on  the  networks’  options  on  broadcasting  time  of 
affiliates  and  on  the  duration  of  contracts. 

Prohibitions  against  network  control  of  advertising  rates 
charged  by  affiliated  stations. 

Maintenance  of  the  right  of  affiliated  stations  to  reject 
"for  any  reasonable  cause  any  program  offered  by  the  network". 

Organizations  which  will  be  represented  at  the  hearing 
and  the  order  in  which  they  will  present  arguments  include  the 
National  Broadcasting  Co. ,  Columbia  Broadcasting  System,  Independ¬ 
ent  Radio  Network  Affiliates,  Inc. ,  Don  Lee  Broadcasting  System, 
Mutual  Broadcasting  System,  World  Broadcasting  System,  Inc., 
Association  of  Radio  Transcription  Producers  of  Hollywood,  Inc., 
American  Federation  of  Musicians,  Independent  Artists'  Representa¬ 
tives  and  Associated  Music  Publishers,  Inc. 

The  FCC  Committee,  in  its  monopoly  report,  found  that 
the  interests  of  affiliated  radio  stations  "have  been  subordinated 
to  the  interests  of  the  network  owned  and  controlled  station". 

It  called  attention  to  the  concentration  and  control  of  the 
country’s  broadcasting  stations  and  pointed  out  that  NBC  and  CBS 
in  1938  owned  or  controlled  23  stations,  of  which  15  were  50  KW 
clear  channel  outlets.  All  but  two  of  the  34  high-power  clear 
channel  stations  and  all  of  the  high-power  regional  stations  were 
found  to  be  on  the  two  major  networks. 


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Neville  Miller,  President  of  the  National  Association 
of  Broadcasters,  commented  last  night  that  "although  these  sug¬ 
gestions  .  .  .  show  the  trend  of  thinking  of  some  of  the  Commis¬ 
sioners,  nevertheless  we  are  confident  there  exists  in  the  Com¬ 
mission  sufficient  good  judgment  and  restraint  as  to  the  exercise 
of  powers  ..." 

"It  would  be  most  unfortunate",  Mr.  Miller  said,  "if  the 
high  standard  of  radio  entertainment  and  information  now  enjoyed 
by  the  American  public  was  jeopardized  by  restrictions  sought  to 
be  imposed  without  warrant  of  law  or  need. " 

X  X  X  X  X  X  X 


FORESEES  RADIO  ELIMINATING  AP  WIRE  SYSTEM 


Addressing  the  Associated  Press  Managing  Editors1 
Association  at  Louisville,  W.  J.  McCambridge  predicted  that 
eventually  the  entire  wire  system  of  the  AP  would  be  eliminated 
by  the  use  of  radio,  at  an  annual  saving  of  $2,000,000,  the 
Editor  &  Publisher  reports. 

Experiments  in  the  AP  laboratory  have  recently  been 
concerned  with  frequency  modulation  radio,  Mr.  McCambridge  told 
the  editors.  He  believes  it  will  be  possible  to  transmit  not 
only  AP  Wirephoto,  but  the  entire  news  report,  in  facsimile,  at 
120  words  a  minute,  doubling  the  present  word  capacity  of  tele¬ 
graphic  printers,  additional  features  and  a  complete  market  and 
sports  report  on  less  than  10,000  of  the  200,000  cycle  frequency 
modulation  assignment,  without  interfering  with  present  broadcast 
ing. 

He  added  that  AP  members  already  operating  radio  trans¬ 
mitters  are  so  distributed  that  only  a  few  additional  relay  sta¬ 
tions  would  be  needed  to  cover  the  country  with  a  network  of 
frequency  modulation  stations  to  carry  the  whole  AP  report  to 
member  papers. 


XXXXXXXX 

ARE  OUR  S-W  PROGRAMS  GETTING  THROUGH? 

Commenting  upon  criticism  that  the  short-wave  programs 
broadcast  to  South  America  were  not  appropriate  and  that  the  South 
Americans  don't  understand  or  appreciate  them,  an  official  in 
Washington  remarked: 

"There  is  something  even  more  important  than  that.  First 
of  all  the  people  down  there  have  to  be  able  to  hear  them.  It 
doesn't  make  any  difference  what  kind  of  programs  we  are  sending 
if  they  are  not  getting  through  as  well  as  the  German  and  the 
English.  " 

XXXXXXXX 
-  9  - 


11/29/40 


TRADE  NOTES  ::: 

i  t  i 


Station  WWVA,  Wheeling,  West  Va. ,  which  under  the  Havana 
Treaty  will  operate  as  a  Class  1-B  station  with  50,000  watts 
power,  will  become  a  basic  NBC  Blue  Network  affiliate  either  on 
May  21,  1941,  or  at  the  time  of  the  change  from  Daylight  Saving 
to  Standard  Time  in  the  Fall  of  1941. 


WMCA  will  broadcast  the  annual  McCosker-Hershf ield 
Cardiac  Foundation  dinner  in  New  York  Saturday,  December  7th 
with  Lt.  Gov.  Charles  Poletti,  James  J.  Walker,  George  Jessel, 

Harry  Hershfield  and  District  Attorney  William  O' Dwyer  as  speakers. 


Aeronautical  station  KANG  of  the  Alaska  Air  Transport 
at  Juneau  has  been  granted  authority  to  communicate  with  CY31  at 
Tulsequak  in  British  Columbia. 


Applications  for  the  following  attorneys  to  practice 
before  the  Federal  Communications  Commission  were  approved  by 
the  Commission:  John  A.  Kratz,  Jr. ,  Robert  T.  Murphy,  Charles 
Sylvanus  Rhyne,  John  Ferdinand  Schmidt,  all  of  Washington,  and 
Hayes  McKinney  of  Chicago. 


Station  WLWO,  international  short-wave  outlet  operated 
by  the  Crosley  Corporation,  Cincinnati,  is  now  conducting  tests 
with  a  power  input  of  100,000  watts  at  the  final  stage  of  ampli¬ 
fication,  with  an  antenna  output  of  approximately  75,000  watts  - 
which  according  to  a  WLWO  press  statement  is  the  most  powerful  in 
the  United  States. 


Philco  Corporation  announced  a  dividend  of  25  cents  a 
share  on  the  common  stock  payable  December  21  to  holders  of  record 
December  9.  This  brought  dividends  to  75  cents  a  share  since  the 
$3  par  value  stock  was  authorized  last  May. 


The  Chattahoochee  Broadcasting  Company  has  applied  to 
the  Federal  Communications  Commission  for  a  new  station  at  Colum- 
bu  s ,  Ga . 


As  a  part  of  the  program  for  the  Washington,  C.  YMCA 
class  in  radio  theory,  a  demonstration  was  given  of  frequency 
modulation. 


The  Worcester  Broadcasting  Corporation  will  establish 
a  new  station  in  San  Diego,  Calif. ,  to  operate  on  the  frequency 
1420  kc.  with  power  of  250  watts. 


The  Radio  Club  of  the  Rose  Polytechnic  Institute  at 
Terre  Haute,  Ind.  has  begun  a  series  of  radio  code  lessons  for 
amateur  operators. 

XXXXXXXXX 
-  10  - 


11/29/40 


ENGINEERS  TO  CONFER  ON  FM  TRANSMITTERS 


An  informal  engineering  conference  will  be  held  at  the 
offices  of  the  Federal  Communications  Commission  on  Monday, 
December  9,  at  10:30  A. M.  to  discuss  transmitting  equipment  for 
high  frequency  broadcast  stations.  Two  subjects  will  be  discuss¬ 
ed,  namely:  1.  Maximum  power  rating  and  operating  power  range 
of  standard  high  frequency  (FM)  transmitters.  2.  Performance 
characteristics  of  audio  amplifying  equipment  when  obtained 
separately  and  as  a  complete  unit. 

The  Commission  has  been  informed  that  it  would  facili¬ 
tate  the  manufacture  of  standard  high  frequency  (FM)  broadcast 
transmitting  equipment  if  maximum  power  ratings  would  be  stand¬ 
ardized.  Also,  the  operating  power  range  of  the  transmitters  of 
different  maximum  power  ratings  should  be  standardized  for  the 
equipment  made  by  different  manufacturers.  As  the  Commission 
regulates  only  the  external  performance  characteristics,  it 
ordinarily  would  not  be  particularly  concerned  with  power  rating 
except  in  so  far  as  it  must  be  considered  in  obtaining  the  nec¬ 
essary  performance.  It  has  been  agreed,  however,  to  discuss 
these  matters  with  the  several  manufacturers  so  as  to  standardize 
the  power  ratings  in  order  to  expedite  manufacture  at  this  time 
when  most  of  the  engineering  facilities  of  the  manufacturers  are 
devoted  to  defense  engineering. 

The  following  power  ratings  are  offered  as  a  basis  of 
discussion; 


Maximum  Power  Rating 

250  watts 
1250  11 

5000  11 

25,000  " 

100,000  " 


Operating  Power  Range 

50  to  250  watts 

250  "  1250  11 

1250  "  5000  " 

5000  "  25,000  " 

250 00  "  100,000  " 


High  frequency  broadcast  stations  are  not  rated  on  the 
basis  of  power  output.  They  are  rated  on  the  basis  of  service 
area.  The  service  area  is  established  from  economic  data  and  cer¬ 
tain  technical  considerations.  Since  all  stations  serving  the 
same  city  must  have  substantially  the  same  service  area  and  as  the 
antenna  height  and  antenna  gain  vary  in  all  cases,  the  operating 
power  will,  in  most  cases,  be  odd  values  (such  as  1190  watts, 

19.2  kw,  etc.  ).  While  stations  are  not  to  be  rated  on  the  basis 
of  operating  power,  consideration  should  also  be  given  the  deter¬ 
mination  of  the  operating  power  for  the  authorized  coverage. 


Even  though  standard  maximum  ratings  as  given  above 
are  adopted,  it  may  be  desirable  to  make  provision  for  immediate 
steps  by  reducing  the  number  of  tubes  or  using  tubes  of  different 
power  ratings  in  the  last  radio  stage  when  the  operating  power  is 
considerably  below  the  maximum  power  rating.  This  is  suggested 
for  economy  only. 


11 


It  has  come  to  the  attention  of  the  Commission  that  the 
performance  characteristics  of  the  speech  input  equipment  is 
dependent  upon  the  input  and  output  circuits  employed.  Unless 
each  unit  is  designed  for  the  impedance  characteristics  of  the 
load,  the  performance  (frequency  and  amplitude)  may  be  different 
from  the  published  (feta.  The  claims  for  overall  performance  of 
high  frequency  broadcast  equipment  are,  in  many  cases,  based  upon 
the  performance  of  individual  units  which  may  not,  in  some  esses 
when  not  matched,  give  performance  meeting  the  requirements,  un¬ 
less  all  units  are  equalized  as  a  whole.  It  Is  desired  to  dis¬ 
cuss  these  problems  with  the  view  of  standardizing  a  method  of 
specifying  characteristics  and  load  conditions.  High  frequency 
broadcast  stations  are  required  to  submit  oroof  of  audio  perform¬ 
ance  during  tests  as  a  complete  station  before  a  license  will  be 
issued  by  the  Commission. 

XXXXXXXXX 


HISTORICAL  BOOKLET  MARKS  TELEVISION'S  1ST  BIRTHDAY 


Upon  completion  of  the  initial  anniversary,  Alfred  H. 
Morton,  Vice-President  in  Charge  of  Television  of  the  National 
Broadcasting  Company,  has  just  issued  a  booklet  "Television’s 
First  Year"  so  elaborate  in  detail  and  so  profusely  illustrated 
that  it  may  be  preserved  for  future  library  reference. 

"Although  Television  has  but  a  single  candle  on  its 
birthday  cake,  it  is  a  lusty  infant  and  its  first  year’s  report 
shows  marked  progress",  Mr.  Morton  writes  in  presenting  the  book¬ 
let.  "Instea*d  of  presenting  a  series  of  engineering  graphs,  oie~ 
charts  and  similar  dry-as-dust  memorabilia,  we  thought  candid 
camera  photographs  of  programs,  personalities  and  special  features 
better  caught  and  reflected  the  spirit  of  sight,  sound  and  motion 
inherent  in  Television. 

"Naturally,  it  was  impossible  to  include  pictures  of  all 
programs  Telecast  over  W2XBS,  the  RCA-NBC  station  atop  the  Empire 
State  Tower,  and  consequently  we  have  listed  many  of  them  together 
with  many  of  the  artists,  actors,  singers,  dancers  and  outstanding 
personalities  who  appeared  on  Television  programs  during  1939-40. 
There  is  also  a  list  of  business  and  industrial  firms  which  have 
cooperated  in  the  development  of  experimental  programs  in  accord¬ 
ance  with  existing  regulations  of  the  Federal  Communications  Com¬ 
mission.  ” 

XXXXXXXXX 

The  refusal  of  the  Federal  Communications  Commission 
for  the  transfer  of  the  broadcasting  license  of  Station  KSFO,  San 
Francisco,  from  the  Associated  Broadcasters,  Inc.,  to  the  Columbia 
Broadcasting  System  of  California  was  upheld  by  the  U.S.  Supreme 
Court  last  Tuesday  when  it  decided  that  the  District  of  Columbia 
Court  of  Appeals  lacked  jurisdiction  in  the  matter.  In  a  unani¬ 
mous  opinion  dealing  purely  with  court  procedure,  Justice  Frank¬ 
furter  held  that  when  Congress  provided  for  court  review  of  FCC 
orders  "refusing  an  application  for  a  station  license",  this  did 
not  include  Commission  action  on  transfers. 

X  X  X  X  X  X  X  X 


12  - 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


,  .XJ 


INDEX  TO  ISSUE  OF  DECEMBER  3,  1940 


Monopoly  Charges  Stir  Up  Rumpus  -  Maybe  Justice  Dept . 2 

Seeks  Industry  View  On  Network  Contract  Control . 4 

Our  Short-Wave  Reception  Poor  In  Cuba . 6 

FCC  Monopoly  Committee  Report  Hit . 7 


Defense  Board  Advisory  Committee  Invitations  Extended . 9 


Uruguay  Demand  Exceeds  Supply . 10 

Trade  Notes . 11 

Roy  C.  Hopgood,  I.  T.  &  T.  Patent  Attorney,  Dies . 12 

Zenith  Annual  Profit  Up  To  Million . 12 


No.  1286 


December  3,  1940 


MONOPOLY  CHARGES  STIR  UP  RUMPUS  -  MAYBE  JUSTICE  DEPT. 


As  the  stormy  oral  argument  on  the  1800  page  Federal 
Communications  Commission  Committee’s  report  on  alleged  monopolistic 
practices  in  chain  broadcasting  got  under  way  this  week  in  the 
National  Capital,  there  were  reverberations  in  other  quarters. 
Although  the  FCC  monopoly  report  has  not  yet  been  passed  upon  by 
the  full  Commission,  and  will  not  be  until  the  conclusion  of  the 
oral  argument,  it  was  said  that  Thurman  Arnold,  Assistant  Attornay 
General  in  charge  of  the  Anti-Trust  Division  was  scrutinizing 
Communications  Commission  findings  and  might  start  an  investiga¬ 
tion  of  his  own.  The  FCC  sent  the  report  to  the  Justice  Department 
without  recommendation,  merely  stating  that  it  could  be  studied  to 
determine  if  violations  of  anti- trust  laws  were  involved. 

This  followed  close  upon  the  heels  of  the  rumor  so  often 
repeated  that  the  American  Society  of  Composers  might  be  inquired 
into  by  the  Justice  Department  to  see  if  the  organization  constitu¬ 
ted  an  illegal  copyright  pool. 

The  Justice  Department  is  trying  to  settle  by  a  consent 
decree  an  anti-trust  suit  filed  six  years  ago  against  the  American 
Society  of  Composers,  Authors  and  Publishers.  A  Justice  spokesman 
said  the  Department  hoped  that  an  agreement  can  be  reached  to 
settle  the  civil  suit,  but,  if  a  deadlock  is  reached,  the  Govern¬ 
ment  is  ready  not  only  to  proceed  with  the  suit  but  to  take  the 
case  before  a  grand  jury.  Conferences  are  being  held  here  three 
times  a  week  between  Justice  attorneys  and  representatives  of  ASCAP. 

The  case  has  lain  dormant  in  the  United  States  Court  for 
the  Southern  District  of  New  York  for  six  years.  It  is  believed 
the  pending  resistance  of  radio  stations  and  the  chains  to  a  large 
increase  in  fees  asked  by  ASCAP  in  a  new  contract  has  served  to 
revive  the  anti-trust  action. 

As  a  real  starter  of  the  big  battle  a  month  hence  between 
the  Broadcasters  and  ASCAP,  came  the  announcement  that  the  Columbia 
Broadcasting  System,  beginning  December  1  barred  from  its  sustain¬ 
ing  programs  all  music  controlled  by  ASCAP. 

The  broadcasters  are  accused  of  a  little  "Fifth  Column" 
work  to  have  the  Composers  convicted  of  a  monopoly  of  music 
whereas  the  Composers  are  accused  of  similar  "Fifth  Column"  activi¬ 
ties  in  endeavoring  to  have  the  Broadcasters  brought  to  bar  on  the 
chain  broadcasting  charge.  Each  side  in  this  controversy  has 
complained  to  the  Justice  Department,  it  is  said,  that  the  other 
side  has  a  monopoly. 


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Quite  another  radio  investigation  -  one  to  be  undertaken 
by  the  Senate  Interstate  Commerce  Committee,  of  which  Senator 
Burton  K.  Wheeler,  of  Montana,  prize  Senate  investigator  is  Chair¬ 
man,  has  been  proposed  by  Senator  Gurney,  Reoublican,  of  South 
Dakota,  who  bitterly  scored  the  FCC  Committee  report. 

Rising  to  the  defense  of  the  chain  broadcasters,  Senator 
Gurney  declared  that  the  report  had  been  "severely  criticized 
and  generally  discredited  because  of  its  inaccuracy  and  demon¬ 
strable  bias"  when  the  Senate  refused  to  confirm  the  reappointment 
of  Col.  Thad  Brown,  one  of  the  FCC  members  who  had  signed  the 
report. 


"The  Committee  proposals  would  strangle,  if  not  impose 
a  death  sentence  upon,  the  established  networks  which  render  such 
outstanding  broadcasting  service  to  the  people  of  the  country  and 
which,  in  fact,  are  the  backbone  of  all  broadcasting  service", 
Senator  Gurney  charged. 

.  "What  is  our  country  coming  to  when  a  Commission  proposes 
regulations  in  excess  of  its  authority  when  it  has  made  no  finding 
of  abuses? 


"To  the  contrary,  the  public  appreciation  of  the  services 
rendered  by  the  networks  is  probably  greater  and  more  widely  spread 
than  the  public  appreciation  for  any  other  industry. 

"If  the  Commission  adopts  these  rules,  and  thus  strangles 
the  service  of  broadcasting  to  the  American  people,  it  surely 
will  have  gone  ’10c0’.  Apparently  some  of  its  members  have  eaten 
the  loco  weed  and  have  construed  its  strange  effects  as  giving  the 
Commission  power  far  in  excess  of  that  actually  bestowed  upon  it 
by  Congress.  " 

It  was  said  at  the  Communications  Commission  that  Senator 
Gurney  evidently  misunderstood  the  situation  or  had  not  read  care¬ 
fully  the  text  of  the  procedure  for  oral  argument  in  the  network 
inquiry  report  which  the  Commission  had  issued  in  mimeographed  form 
last  week. 

"The  Senator  talked  about  the  proposed  ^CC  rules  for  the 
regulation  of  the  networks",  an  FCC  spokesman  said.  "Those  were 
not  ’proposed  rules’  but  simple  agenda  to  center  argument  on.  The 
Committee  report  itself,  1800  pages  in  length,  was  so  voluminous 
and  so  mixed  up  that  the  issues  set  forth  by  the  Commission  were 
merely  something  to  shoot  at. " 

XXXXXXXX 

SORRY! 

It  was  inadvertently  stated  in  our  last  issue  that  FCC 
Chairman  Fly  ordered  FCC  Secretary  Slowie  to  send  that  moot  wire  to 
to  the  independent  stations,  about  which  Mark  Ethridge  and  many 
others  have  complained.  We  have  since  learned  the  telegram  was 
drafted  and  dispatched  by  the  FCC  "Monopoly"  Committee  (Commis¬ 
sioners  Walker  and  Thompson)  without  the  knowledge  of  the  other 
members  of  the  Commission. 

XXXXXXXXX  -3- 


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SEEKS  INDUSTRY  VIEW  ON  NETWORK  CONTRACT  CONTROL 

At  the  opening  of  the  Federal  Communications  Commission’s 
argument  on  the  Committee’s  network  inquiry  (so-called  ’’Monopoly” 
report),  Telford  Taylor,  FCC  General  Counsel,  stated  that  the  Com¬ 
mission  desired  that  the  discussion  be  pointed  toward  two  particu¬ 
lar  matters : 


(1)  Should  the  Commission  promulgate  regulations 
under  Section  303  of  the  Communications  Act  dealing  with 
the  provisions  of  contracts  between  networks  and  their 

affiliated  stations,  and 

(2)  If  so,  what  should  those  regulations  provide 

{This  pointing  of  the  discussion  reflects  the  opinion  of 
the  chain  broadcasting  Committee,  Mr.  Taylor  explained,  as  stated 
in  the  conclusion  of  its  report,  that  the  heart  of  the  chain 
broadcasting  problem  is  the  network-outlet  contract,  and  the  recom¬ 
mendation  in  the  Committee's  letter  of  transmittal  that  regulations 
with  respect  to  these  contracts  should  be  promulgated. 


The  Commission  has  set  forth,  for  the  consideration  of 
counsel  appearing  at  this  argument,  a  series  of  draft  regulations. 


Regulations  Nos.  1-A  and  1-B  deal  with  contract  provi¬ 
sions  for  exclusive  affiliation  between  networks  and  affiliates. 

No.  1-A  is  a  general  prohibition  of  such  provisions.  In  support  of 
such  a  prohibition,  it  is  urged  by  one  of  the  national  networks 
that  exclusive  contracts  prevent  new  national  networks  from  securing 
adequate  coverage,  and  thereby  restrain  competition  among  networks. 
The  limited  radio  facilities  in  a  number  of  large  cities  is  called 
to  the  Commission's  attention  in  order  to  support  this  argument. 

On  the  other  hand,  the  two  other  national  networks  contend  that 
the  exclusive  affiliation  provision  in  their  contracts  is  indis¬ 
pensable  to  sound  network  operation.  They  urge  that  a  network 
should  be  considered  as  a  cooperative  enterprise,  point  to  their 
expenditures  for  sustaining  programs  which  build  up  the  goodwill 
and  advertising  value  of  their  affiliates,  and  conclude  that  the 
prohibition  of  exclusive  provisions  would  undermine  stable  network 
operations. 


. 


It  should  be  noted  that  drafts  1-A  and  1-B  are  identical 
except  for  the  addition  of  the  proviso  in  1-B.  That  proviso  would 
make  the  regulation  inaoplicable  in  cities  where  five  or  more  full 
time  stations  are  rendering  adequate  primary  service,  on  the  theory 
that  in  such  cities  the  restrictive  effect  of  exclusive  contracts 
is  of  far  less  significance. 


Draft  No.  2  proposes  a  limitation  on  the  amount  of  time 
which  a  licensee  may  option  to  a  network  organization.  In  support 
of  such  a  regulation,  one  of  the  national  networks  urges  that  the 
optioning  to  the  established  networks  of  the  best  hours  of  sta¬ 
tions  in  markets  where  the  available  facilities  are  limited  makes 
it  extremely  difficult  for  new  networks  to  sell  time  to  national 

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12/3/40 


advertisers.  It  is  also  pointed  out  that  the  other  two  networks 
customarily  option  much  more  time  than  they  actually  use  for  com¬ 
mercial  network  programs. 

The  other  two  national  networks  oppose  such  a  regulation 
on  the  ground  that  options  are  essential  in  order  to  make  firm 
commitments  with  advertisers  and  thereby  compete  with  other  adver¬ 
tising  media,  such  as  newspapers  and  magazines. 

The  proposed  regulation  permits  the  optioning  of  more 
time  in  cities  which  have  three  or  more  stations  than  in  cities 
which  have  only  two  stations  or  only  one  station.  It  also  under¬ 
takes  to  limit  the  margin  between  the  number  of  hours  which  may  be 
optioned  and  the  number  of  hours  which  are  customarily  utilized  for 
commercial  network  programs. 

Drafts  Nos.  3-A,  3-B,  and  3-C  are  alternative  proposals 
dealing  with  the  permissible  duration  of  contracts  between  networks 
and  their  affiliates.  Draft  3-A  limits  such  contracts  to  the  dura¬ 
tion  of  the  station  license.  Draft  3-C  limits  the  duration  to  two 
years.  Draft  3-B  imposes  no  limitation  on  the  length  of  the  con¬ 
tract,  but  requires  that  any  provisions  with  respect  to  renewal  or 
cancellation  shall  be  available  both  to  the  network  and  the  affili¬ 
ates  -  -  in  other  words,  it  requires  reciprocity  in  this  respect. 

The  argument  in  favor  of  such  regulations  is  that  network- 
outlet  contracts  which  run  for  a  long  period  tend  to  lock  up  the 
better  radio  facilities  in  the  various  markets,  and  to  restrain  and 
hamper  the  efforts  of  new  or  more  recently  formed  networks  to  com¬ 
pete  with  the  old  ones.  The  two  largest  national  networks  oppose 
such  regulation  on  the  ground  that  their  willingness  to  spend  money 
on  equipment,  and  in  building  and  developing  fine  programs  and  good¬ 
will  for  their  affiliates  is  dependent  on  the  commercial  stability 
afforded  by  long-term  contracts. 

Draft  No.  4  relates  to  a  provision  found  in  the  contracts 
of  the  National  Broadcasting  Company  with  its  affiliates. 

The  brief  for  the  National  Broadcasting  Company  argues 
that  the  purpose  of  these  clauses  is  merely  to  permit  National  to 
deal  with  its  advertising  clients  upon  terms  not  less  favorable 
than  those  established  by  the  station. 

Draft  No.  5  is  directed  to  the  control  of  two  or  more  net¬ 
work  organizations  by  a  single  company.  As  of  the  present  time, 
this  proposal,  if  adopted,  would  affect  chiefly  the  National  Broad¬ 
casting  Company,  which  operates  both  the  Red  and  the  Blue  networks. 
In  support  of  such  a  regulation,  one  of  the  national  networks  con¬ 
tends  that  National's  control  of  two  different  networks  accentu¬ 
ates  the  restraint  on  competition  which  it  finds  to  result  from 
exclusive  affiliation  provisions,  excessive  option  time,  and  lengthy 
contracts.  It  points  out  that  the  result  of  National's  control  of 
two  networks  is  in  many  cases  to  tie  up  two  outlets  in  principal 
markets  to  the  National  Broadcasting  Company,  and  thereby  reduce 
the  outlets  available  to  competing  networks. 

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12/3/40 


Opposing  such  a  regulation,  the  National  Broadcasting 
Company  argues  that  its  ownership  of  two  networks  has  stimulated 
the  development  of  broadcasting  by  making  a  wider  variety  of  net¬ 
work  programs  available,  and  states  that  it  has  never  changed  a 
station  from  its  Red  to  its  Blue  network  over  the  opposition  of 
the  station. 

Drafts  6-A,  6-B,  and  6-C  which  are  presented  in  the 
alternative,  do  not  relate  directly  to  network  contracts,  but 
rather  to  the  ownership  of  station  licensees  by  network  organiza¬ 
tions.  Proposal  6-A  would  entirely  prohibit  such  ownership. 

The  Committee  Report,  approaching  the  matter  from  another 
angle,  urges  that  the  ownership  of  powerful  stations  in  the  most 
important  markets  increases  the  dominant  position  of  the  networks 
in  the  radio  picture,  and  also  raises  a  problem  of  conflict  of 
interest,  in  that  the  networks  may  concentrate  their  efforts  on 
promoting  the  sale  of  time  over  their  own  stations  rather  than 
over  the  network  as  a  whole. 

The  two  largest  networks  deny  that  there  is  any  such  con¬ 
flict  of  interest,  and  argue  that  the  control  of  station  operations 
at  key  points  is  indispensable  to  their  stability. 

The  last  draft,  numbered  7,  concerns  the  right  of  station 
licensees  to  reject  programs  offered  by  the  networks. 

Two  of  the  principal  briefs,  and  in  particular  that  of 
the  National  Broadcasting  Company,  stress  the  existence  of  a  sup¬ 
posed  conflict  between  the  Report  of  the  Chain  Broadcasting  Com¬ 
mittee,  and  the  Report  of  another  committee  of  the  Commission  which 
conducted  the  proceedings  and,  early  in  1939,  submitted  a  report 
which  resulted  in  regulations  governing  standard  broadcasting. 

There  is  no  such  conflict,  for  at  least  one  good  reason  —  the  two 
committees  were  considering  different  subjects. 

XXXXXXXX 

OUR  SHORT-WAVE  RECEPTION  POOR  IN  CUBA 

It  is  reported  by  Asst.  Commercial  Attache  Charles  S. 
Ducote,  stationed  at  Havana,  to  the  Bureau  of  Foreign  and  Domestic 
Commerce  that  short-wave  reception  from  the  United  States  and  Europe 
is  only  partially  satisfactory.  Fading  is  usually  bad,  and  recep¬ 
tion  seldom  good  for  more  than  2  hours  of  the  time  any  particular 
frequency  is  used  for  Cuban  reception.  European  stations  are  in 
general  received  more  effectively  than  American.  In  the  49-meter 
band  reception  is  poor  at  all  times,  and  is  marked  by  a  high  noise 
level.  The  32-meter  band  is  fairly  satisfactory,  especially  after 
7  or  8  P.M.  ,  the  25-meter  band  after  6  P .  M.  ,  and  the  19-meter  ban-d 
through  the  day  up  to  5  or  6  P.M.  Reception  on  the  medium  band  is 
good,  from  Cuban  stations  and  from  other  North  American  stations 
on  channels  not  used  by  Cuban  stations.  Many  Cuban  stations  broad¬ 
cast  on  broad  bands,  however,  and  few  channels  therefore  are 
entirely  clear  for  distant  receotion. 

XXXXXXXXX 
-  6  - 


12/3/40 


FCC  MONOPOLY  COMMITTEE  REPORT  HIT 


A  large  number  of  brick-bats  were  thrown  by  counsel  for 
the  National  Broadcasting,  the  Columbia  Broadcasting  System  and 
the  Independent  Radio  Network  Affiliates  at  the  Federal  Communica¬ 
tions  Committee  report  seeking  to  formulate  regulations  to  curb  the 
networks.  An  idea  of  the  tone  of  the  objections  to  the  report  may 
be  gained  by  the  opening  remarks  of  Phillip  J.  Hennessey,  NBC 
counsel,  first  of  the  network  spokesmen  to  be  heard,  when  the  hear¬ 
ing  began  yesterday  (Monday)  morning. 

"It  is  our  conclusion  that  this  report  is  inaccurate, 
distorted",  Mr.  Hennessey  declared,  "and  contains  conclusions  un¬ 
warranted  -  "  And  as  the  speaker  started  to  say  a  few  other 
things,  no  doubt  equally  complimentary,  he  was  interruoted  by 
Chairman  James  L.  Fly  who  suggested  that  he  omit  generalities.  A 
little  later,  nevertheless,  Mr.  Hennessey  referred  to  a  financial 
sort ion  of  the  report  which  contained  an  allegation  that  the  NBC 
had  lost  a  large  amount  of  money  on  account  of  bad  debts  as  a 
"statistical  monstrosity"'.  Sitting  beside  Mr.  Hennessey  and 
directing  the  presentation  was  Judge  A.  L.  Ashby,  Vice-President 
and  General  Counsel  for  NBC. 

Mr.  Hennessey  said  Congress  did  not  confer  on  the  FCC 
authority  to  enforce  the  anti-trust  acts  against  broadcasters. 

"Should  the  Commission  consider  the  monopolistic  element 
in  granting  licenses?"'  Chairman  Fly  asked. 

"It  should  not",  replied  Mr.  Hennessey. 

The  speaker  asserted  that  the  American  system  of  broad¬ 
casting  is  rendering  the  world's  finest  service  in  broadcasting 
but  that  the  proposal  would  greatly  restrain  it, 

"If  you  adopt  these  rules  and  regulations,  or  anything 
like  them",  he  said,  "you  will  destroy  the  American  system  of 
broadcasting  and  dislocate  the  whole  equilibrium  of  radio  in  rela¬ 
tion  to  other  advertising  media.  " 

Criticizing  the  Mutual  Broadcasting  System,  which  has 
sided  with  the  FCC  in  some  of  its  findings,  Mr.  Hennessey  said: 

"The  Mutual  brief  argues  not  the  virtue  of  the  FCC  report 
but  rather  of  the  short-comings  of  NBC  and  Columbia.  It  is  strange¬ 
ly  silent  though  on  who  owns  Mutual.  It  is  assumed  that  behind 
WGN  is  the  powerful  Chicago  Tribune  and  WCR,  R.  H.  Macy  &  Company, 
and  so  on. " 

"Do  you  think  the  name  of  every  stockholder  should  be 
shown?"  Commissioner  Frederick  I  Thompson  inquired. 

"I  do",  was  the  reply. 


7 


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Rejection  of  the  report  was  recommended  by  John  J.  Burns, 
counsel  for  CBS,  who  supported  the  position  of  Mr.  Hennessey.  Mr. 
Burns  argued  at  length  constitutional  questions  involved  by  his 
contention  that  the  suggested  regulations  not  only  were  destructive 
in  character  but  beyond  the  power  and  authority  of  the  Commission 
to  promulgate.  He  said  the  Commission  can  regulate  only  the  physi¬ 
cal  side  of  broadcasting. 

Mr.  Burns  added  that  he  saw  in  one  of  the  suggested  recom- 

fmendations  an  effort  on  the  part  of  the  Commission  "to  smuggle  in 
the  regulation  of  advertising  rates”. 

Paul  Segal,  as  attorney  for  the  Independent  Radio  Network 
Affiliates,  said  that  his  group  is  opposed  to  all  of  the  suggested 
regulations  on  the  ground  that  they  are  ’’undesirable  rather  than 

illegal ” . 


He  argued  that  the  affiliates  did  not  desire  to  see  net¬ 
works  ham-strung  and  he  predicted  that  if  the  regulations  were 
adopted  that  they  would  discourage  the  formation  of  new  chains 
rather  than  provide  greater  competition. 

"We  oppose  these  regulations  in  their  entirety”,  Mr. 
Segal  said.  ’’This  is  because  the  regulations  deal  with  the  busi¬ 
ness  of  broadcasting  as  distinguished  from  allocation  and  licens¬ 
ing.  ” 


Each  witness  was  asked  by  Chairman  Ely  to  suggest  methods 
of  enlarging  the  present  opportunities  of  the  Mutual  Broadcasting 
System,  which  has  approved  substantially  all  the  basic  recommenda¬ 
tions  of  the  Committee,  without  sacrifice  or  interruption  of  other 
service  s. 

Mr.  Hennessey  suggested,  as  two  possibilities,  the  organ¬ 
ization  of  networks  through  the  licensing  of  additional  stations 
within  the  present  allocation  setup,  and  the  use  of  new  facilities. 
Also,  though  he  did  not  recommend  it,  he  mentioned  the  breakdown 
of  clear  channels,  which  he  said  would  do  more  harm  than  good. 


Mr.  Burns  said  he  had  no  suggestions  to  make,  and  Mr. 
Segal  said  that  Mutual  already  had  demonstrated  its  ability  to  hold 
its  own  effectively  in  competition  with  older  networks,  and  "if 
left  alone  will  continue  to  expand  and  prosper  in  ever  increasing 
de  gre  e .  ” 

”We  believe  it  to  be  to  the  basic  interest  of  the  Mutual 
affiliates,  just  as  it  is  to  the  affiliates  of  the  older  networks, 
to  resist  the  intrusion  of  detailed  Federal  regulation  of  the  net¬ 
work-affiliate  relationship”,  Mr.  Segal  declared. 

Joseph  Raug,  Jr.,  Assistant  Counsel  of  the  FCC  had  stated 
earlier  in  the  hearing  that  there  were  no  legal  obstacles  to  pre¬ 
vent  the  issuing  by  the  Commission  of  regulations  to  place  re¬ 
straints  on  chain  organizations.  Network  counsel  agreed  that  ex¬ 
clusive  contracts,  which  would  be  forbidden  under  the  proposed 
regulations  were  a  fundamental  of  any  competitive  business,  in  no 
way  harmful  as  between  network  and  affiliate  but  of  benefit  to 
both  and  to  the  listening  public. 

Yet  to  be  heard  at  this  writing  were  the  Mutual  Broad¬ 
casting  System,  Don  Lee,  and  others. 

XXXXXXXX 


-  8  - 


12/3/40 


DEFENSE  30ARD  ADVISORY  COMMITTEE  INVITATIONS  EXTENDED 


Executives  of  eight  leading  communication  companies  have 
been  invited  by  the  Defense  Communications  Board  to  constitute  the 
latter' s  Industry  Advisory  Committee  in  connection  with  coordinat¬ 
ing  and  preparing  plans  for  the  role  of  communications  in  the  pre¬ 
paredness  program.  The  offials  to  whom  such  invitations  have  been 
sent  are: 

Walter  S.  Gifford,  President  of  the  American  Telephone 

&  Telegraph  Co. 

Jack  Kaufman,  Executive  Vice-President  of  Globe  Wireless, Ltd. 
Sosthenes  Behn,  President  of  the  International  Telephone 

&  Telegraph  Corp. 

Joseph  Pierson,  President  of  Press  Wireless,  Inc. 

David  Sarnoff,  President  of  the  Radio  Corporation  of  America 
W.  E.  Beakes,  President  of  the  Tropical  Radio  Telegraph  Co. 

R.  B.  White,  President  of  the  Western  Union  Telegraph  Co. 

E.  F.  Chinlund,  President,  Postal  Telegraph  Co. 

The  duties  of  the  Industry  Advisory  Committee  include  the 
submission  of  expert  advice  to  the  Board  on  all  problems  of  general 
concern  to  the  communications  companies  incident  to  the  proper 
carrying  out  of  the  Board's  national  defense  mission.  With  the 
requirements  of  national  defense  as  a  primary  consideration,  the 
Industry  Advisory  Committee  will  submit  recommendations  to  the 
Board  on  such  problems  as  are  referred  to  it  by  the  Board.  The 
Industry  Advisory  Committee  will  report  directly  to  the  Board  but 
will  have  liason  for  the  purpose  of  advice  and  consultation  with  a 
Coordinating  Committee  and  a  Labor  Advisory  Committee. 

In  addition  to  their  own  particular  Advisory  Committees  - 
Domestic  Broadcasting  and  International  Broadcasting  -  the  broad¬ 
casters  may  also  be  represented  on  the  Industry  Advisory  Committee 
under  the  following  supplemental  provision: 

"Whenever  a  problem  involving  domestic  or  inter¬ 
national  broadcasting  shall  arise,  the  Chairman  of  the 
Industry  Advisory  Committee  shall  notify  the  Chairman 
of  the  Domestic  Broadcasting  Committee  or  International 
Broadcasting  Committee,  as  the  case  may  be,  and  such 
Domestic  or  International  Broadcasting  Committee  shall 
designate  a  delegate  to  act  as  a  member  of  the  Industry 
Advisory  Committee  on  that  problem. " 

At  the  same  time  the  Board  sped  organization  of  its  Labor 
Advisory  Committee  by  inviting  the  following  organizations  to  each 
recommend  a  member  of  this  Committee  to  represent  their  respective 
affiliated  communications  groups: 

American  Federation  of  Labor 

Congress  of  Industrial  Organizations 

National  Federation  of  Telephone  Workers. 


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12/3/40 


Each  of  these  committee  members  has  the  orivilege  of 
selecting  such  advisors  as  he  may  deem  necessary.  The  Labor 
Advisory  Committee  will  advise  the  Board  on  communications  labor 
matters  incident  to  the  national  defense,  in  liason  with  the 
Industry  Advisory  and  Coordinating  Committees. 

Also,  the  Board  invited  the  National  Association  of 
Broadcasters  to  nominate  a  representative  to  the  International 
Broadcasting  Committee,  and  Western  Radio  Telegraph  Company, 
Bartlesville,  Oklahoma,  to  appoint  a  representative  to  the  Radio¬ 
communications  Committee. 

The  above  invitations  are  in  addition  to  those  announced 
November  25.  Besides  the  Committees  mentioned,  there  are  other 
Committees  representative  of  Amateur  Radio,  Aviation  Radio,  Inter¬ 
department  Radio,  Telegraph,  Telephone,  State  and  Municipal  Facil¬ 
ities,  and  Government  Facilities.  All  appointments  to  these 
advisory  committees  are  pursuant  to  nomination  or  other  recommenda¬ 
tion  by  industries  and  groups  concerned,  on  invitation  from  the 
Board.  The  initial  task  of  the  committees  is  to  organize  and 
select  respective  chairmen  and  secretaries. 

James  L.  Fly,  Chairman  of  the  Board,  explains  that  com¬ 
mittee  listing  is  not  to  be  interpreted  as  exclusive,  and  that  any 
responsible  company  or  group  which  may  consider  itself  overlooked 
can  obtain  representation  upon  adequate  showing  that  it  is  con¬ 
cerned  with  the  Board's  planning  for  emergency  coordination  of 
radio,  wire  and  cable  facilities. 

XXXXXXXX 
URUGUAY  DEMAND  EXCEEDS  SUPPLY 

In  view  of  the  severe  foreign  exchange  restrictions  now 
in  force  which  serve  to  handicap  imports  of  sets  and  parts,  the 
demand  for  radio  sets  and  equipment  in  Uruguay  is  greater  than  the 
supply,  Vice  Consul  Hector  C.  Adams,  Jr. ,  of  Montevideo  reports 
through  the  Bureau  of  Foreign  and  Domestic  Commerce.  No  census  of 
radio  receiving  sets  in  use  is  available,  but  the  number  is  esti¬ 
mated  at  145,000  to  155,000.  It  is  further  estimated  that  the 
average  normal  annual  sale  of  receiving  sets  numbers  20,000.  The 
growing  restrictions  of  imports  caused  by  exchange  control  were 
expected  to  limit  the  sales  in  1939,  but  it  is  now  estimated  that 
they  reached  22,000  and  that  1940  sales  about  equal  the  1939. 

Imports  of  American  radio  receiving  sets  fell  severely 
in  1939,  dropping  to  14  percent  from  61  percent  in  1938.  Imports 
from  the  Netherlands  practically  doubled  their  percentage.  The 
percentage  of  American  parts,  except  tubes,  increased  to  54  in 
1939  against  40  in  1938,  although  the  value  fell  a  third.  The 
position  of  the  United  States  as  a  supplier  of  radio  tubes  remain¬ 
ed  the  same  in  1939  as  in  1938,  both  with  regard  to  value  and  per¬ 
centage  of  the  total.  The  reputation  in  Uruguay  of  American  sets 
and  tubes  is  excellent  and  they  are  considered  far  superior  to 
European  sets  and  tubes,  both  as  regards  value  and  performance  and 


10  - 


•• 


12/3/40 


durability.  The  only  reason  American  radio  equipment  does  not 
dominate  the  Uruguayan  market  entirely  is  the  restrictions  on  ex¬ 
change  . 

Whereas  the  large  percentage  of  sets  came  from  Europe 
before  the  war,  and  even  during  the  first  half  of  1940,  the  United 
State  is  now  the  country  of  origin  of  nearly  all.  Imports  of  sets 
are  more  than  holding  up  during  1940,  being  at  the  rate  of  23.8 
percent  above  1939.  The  United  States  share  of  the  total  rose 
from  14.0  percent  in  1939  to  34.1  in  the  first  8  months  of  1940  and 
will  be  higher  for  the  entire  year.  The  Netherlands  share  rose 
from  47.7  to  59.9  percent. 

XXXXXXXXXXX 


:  TRADE  NOTES 


A  10  percent  increase  in  sales  so  far  this  year  over  the 
same  part  of  1939  and  a  "present  backlog  of  orders  400  percent 
greater  than  at  this  time  last  year"  were  reported  for  the  Strom- 
berg-Oarlson  Telephone  Manufacturing  Comoany  at  Rochester,  N.Y.  , 
by  its  President,  Wesley  M.  Angle.  Plans  were  under  way,  he 
added,  "for  an  ambitious  program  in  the  radio  division",  which  is 
active  in  the  frequency  modulation  field. 


Blevins  Davis,  NBC  Supervisor  of  Educational  Programs, 
will  preside  over  the  radio  section  of  the  annual  convention  of 
the  American  Education  Theater  Association  and  National  Teachers  of 
Speech,  in  Washington,  December  31. 


For  the  year  to  date,  newspaper  linage  is  up  about  2  per¬ 
cent,  magazines  about  4  percent  and  radio  about  16.5  percent, 
according  to  the  New  York  Times .  Newspapers  and  magazines  are 
obviously  lagging  behind  retail  advertising  figures  while  radio 
is  considerably  ahead. 


WOR  last  week  began  broadcasting  holiday-season  announce¬ 
ments  calling  listeners'  attention  to  the  fact  that  the  Radio 
Servicemen  of  America  will  gladly  call  for  old  unused  radios,  re¬ 
condition  them,  and  deliver  them  without  charge  to  charitable 
institutions.  Charitable  organizations  wanting  reconditioned 
radios  were  advised  to  communicate  with  WOR,  which  will  transmit 
tne  requests  to  the  RSA. 


A  report  on  the  radio  situation  in  Tonga  by  Consul  George 
Bliss  Lane  was  issued  in  the  "Radio,  Telephone,  Telegraph"  Bulle¬ 
tin  of  the  Bureau  of  Foreign  and  Domestic  Commerce. 


The  Gilfilian  Bros. ,  Inc. ,  radio  plant  was  destroyed  by 
fire  last  Saturday  with  a  loss  estimated  by  Fire  Department  offic 
ials  at  $300,000.  Seventeen  fire  companies,  comprising  90  men, 
fought  the  blaze  for  two  hours. 

XXXXXXXXX 
-  11  - 


12/5/40 


ROY  C.  HOPGOOD,  I.  T.  &  T.  PATENT  ATTORNEY,  DIES 


Roy  C.  Hopgood,  54,  General  Patent  Attorney  of  the  Inter¬ 
national  Telephone  &  Telegraph  Corporation,  died  last  week  at  East 
Oranae,  N.J. General  Hospital  after  a  brief  illness.  flr.  Hopgood 
served  the  telephone  industry  for  31  years  as  cable  engineer  and 
patent  attorney  for  the  Western  Electric  Company  in  Chicago  and 
New  York  and  for  the  past  five  years  as  General  Patent  Attorney 
for  the  I.  T.  &  T.  System. 

Mr.  Hopgood  was  appointed  General  Patent  Attorney  for 
the  I.  T.  &  T.  System  in  1936.  He  was  regarded  as  one  of  the  most 
astute  lawyers  in  the  patent  field  relating  to  electrical  communi¬ 
cations  and  was  widely  known  and  well  liked  in  the  communications 
industry  in  Europe  as  well  as  the  United  States. 

He  is  survived  by  his  widow,  Mrs.  Margaret  Brown  Hopgood, 
and  two  sons,  Roy  C.  Hopgood,  Jr.,  and  Robert  B.  Hopgood,  all  of 
Glen  Ridge,  New  Jersey. 


xxxxxxxxx 

ZENITH  ANNUAL  PROFIT  UP  TO  MILLION 


Zenith  Radio  Corporation  reports  a  consolidated  operat¬ 
ing  profit  for  the  first  six  months  ended  October  31,  1940,  of  its 
current  fiscal  year  amounting  to  $1,158,872,  after  depreciation, 
excise  taxes  and  liberal  reserves,  but  before  provisions  for  Feder¬ 
al  income  taxes,  as  per  the  company's  books.  This  amounts  to  $2.35 
per  share  on  492,464  shares  outstanding. 


"Assuming  the  present  tax  law  will  not  be  changed  with 
respect  to  1940  earnings,  this  profit  would  be  subject  to  the  pre¬ 
sent  normal  Federal  income  tax  but  not  to  excess  profits  tax  in 
view  of  the  company's  annual  average  gross  earnings  over  the  past 
four  years  amounting  to  approximately  $1,400,000.00  per  year", 
Commander  E.  F.  McDonald,  Jr.  ,  President,  reports. 

"Unit  shipments  during  the  six  month  period  were  the 
largest  for  any  similar  six  month  period  in  the  company's  history. 
Unfilled  orders  at  October  31  and  new  orders  received  subsequently 
are  sufficient  to  maintain  the  present  rate  of  production  until 
Christmas. " 


Deliveries  of  automobile  radios  to  automobile  manufactur¬ 
ers  with  whom  the  company  has  contracts  are  greater  this  year  by  a 
substantial  margin  than  in  any  previous  year.  The  company's  new 
foot  controlled  radio,  which  was  shown  to  the  public  for  the  first 
time  at  the  New  York  Automobile  Show,  is  being  most  enthusiastically 
receive  d. 


XXXXXXXXXXX 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


DEPARTMENT' 


I  /  ru  j  cr  1 1 

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l/ ! 

DEC  q  mrj 


INDEX  TO  ISSUE  OF  DECEMBER  6,  1940 


Monopoly  Splits  FCC  But  Early  Report  Hoped  For.. . 2 

Flamm  Reported  Selling  WMCA  For  $1,000,000 . 4 

Charges  FCC  Going  Beyond  Authority . 5 

McGrady  Called  To  Help  End  Defense  Strikes . 6 

FCC  Outlines  Administrative  Procedure . 7 

Fort  Industry  Establishes  Toledo  f&dio  Center 
Station  WAR  Opened  To  Amateurs . 


Seven  Stations  Granted  Power  Increases . 10 

Rules  Waived  For  Drafted  Radio  Operators . 10 


11 


Trade  Notes . 

Philips  Radio  Puts  New  Portable  On  The  Market 
New  Public  Notice  Numbering . 


12 

12 


to  to 


MONOPOLY  SPLITS  FCC  BUT  EARLY  REPORT  HOPED  FOR 


As  far  apart  apparently  as  they  were  before  the  hearings 
on  the  oral  arguments  began,  the  members  of  the  Federal  Communica¬ 
tions  Commission  are  now  nevertheless  hard  at  work  in  an  effort 
to  reconcile  their  differences  and  to  have  the  so-called  Monopoly 
report  on  whether  regulations  should  be  enacted  governing  chain 
broadcasting,  ready  for  the  new  Congress  when  it  convenes  in 
January.  There  may  be  further  delay  but  the  Commissioners  are 
evidently  in  the  mood  to  do  their  "derndest"  to  get  the  report  to 
Congress  which  has  already  accused  the  Commission  of  stalling  before 
the  gentlemen  on  the  Hill  hurl  any  more  over-ripe  tomatoes  at  them. 
Although  the  two  day  FCC  hearings  of  legal  arguments  on  the  monopoly 
report  were  finished  on  schedule  time,  final  action  cannot  be  taken 
until  consideration  has  been  given  to  additional  briefs  which  may 
be  filed  until  Monday,  December  16. 

The  two  big  questions  which  are  causing  internal  strife 
are  (a)  does  the  Communications  Act  give  the  Federal  Communications 
Commission  such  commercial  jurisdiction  as  the  much  discussed 
Monopoly  report  would  have  it  take  in,  and  (b)  if  it  does,  how  shall 
it  exercise  that  power? 

It  is  the  contention  of  one  faction  among  the  Commission¬ 
ers  that  they  very  definitely  do  not  have  the  power.  If  the  Com¬ 
mission  assumed  jurisdiction  that,  it  was  pointed  out,  it  would 
find  itself  dangerously  close  to  the  business  side  of  chain  broad¬ 
casting  and  in  direct  contact  with  the  Supreme  Court  ruling  in  the 
Sanders'  case  which  declared  that  the  Act  gives  the  Commission  no 
control  over  the  business  of  the  stations  or  of  their  management 
or  policy.  It  was  further  argued  that  if  the  chains  were  guilty 
of  a  monopoly  that  the  FCC  should  turn  over  its  evidence  to  the 
Department  of  Justice  with  the  suggestion  that  anti-trust  proceed¬ 
ings  be  inaugurated.  It  would  not,  in  the  opinion  of  those  hold¬ 
ing  that  belief,  be  up  to  the  FCC  to  decide  the  guilt. 

If  the  Commissioners  decide  they  have  the  power  to  act  to 
curb  an  alleged  monopoly,  then  as  one  official  put  it  "they  must 
decide  how  to  use  this  power  intelligently  and  not  in  a  way  to 
destroy  radio". 

It  was  the  opinion  of  one  of  the  lawyers  representing  the 
chains  in  that  a  majority  of  the  Commissioners  favored  some  sort  of 
restriction  of  the  activities  of  the  chains  and  that  they  believed 
they  had  the  power  to  do  it.  He  said  he  believed  some  regulations 
on  contracts  might  be  recommended  in  the  final  report.  This  man 
declared,  however,  that  the  recommendations  in  the  Committee  report 
were  much  more  severe  and  went  much  farther  than  most  of  them  would 
want  to  go.  After  all,  he  concluded,  the  Committee  report  was 
simply  something  to  shoot  at. 


12/6/40 


F 

It  was  learned  on  excellent  authority  that  there  wasn't 
a  chance  of  the  Commission  adopting  the  Committee  renort  as  it 
now  stands.  "This  renort  is  too  full  of  errors",  he  added,  "and 
will  be  entirely  rewritten.  " 

Louis  0.  Caldwell,  counsel  for  the  Mutual  Broadcasting 
System,  following  representatives  of  NBC  and  CBS  who  had  been  heard 
previously,  expressed  the  ooinion  that  the  Commission  has  the 
authority  to  enact  regulations  governing  chain  broadcasting.  Mr. 
Caldwell  insisted  that  affiliated  stations  should  be  kept  free  of 
network  or  contractual  relations.  The  Counsel  favored  regulations 
designed  to  prevent  interference  and  the  development  of  monopolies. 

There  should  be  such  restraints,  Mr.  Caldwell  told  the 
Commission,  and  for  the  "public  interest,  convenience  and  neces¬ 
sity",  they  should  be  imposed  by  the  Commission  in  the  exercise  of 
its  obligation  under  the  Communications  Act;  but  he  criticized  as 
too  far-reaching  and  "unnecessarily  prolix"  the  draft  proposals  pre¬ 
sented  for  discussion  on  the  basis  of  network  inquiry  by  the  Com¬ 
mission'  s  Monopoly  Committee. 

"The  situation  is  not  serious,  nor  are  serious  difficul¬ 
ties  involved  in  larger  cities",  Mr.  Caldwell  said. 

At  the  request  of  the  Commission  and  for  the  correction 
of  evils  which  he  argued  hed  resulted  from  holdings  of  major  chains 
of  station  facilities  in  strategic  marketing  areas,  Mr.  Caldwell 
submitted  suggested  special  regulations  applicable  to  standard 
broadcast  stations  engaged  in  chain  broadcasting.  The  oroposals 
were  listed  under  the  following  heads:  "Definitions",  "Licensing 
of  Standard  Broadcast  Stations  to  Network  Organizations",  "Contracts 
Between  National  Network  Organizations  and  Station  Licensees"  and 
"Contracts  Between  Regional  Network  Organizations  and  Station 
Licensees " . 

The  Mutual  Broadcasting  System  sought  to  buy  contracts 
of  certain  affiliates  of  the  National  Broadcasting  Co.  Blue  network 
about  a  year  and  a  half  ago,  the  FCC  was  informed  by  Philip  J. 
Hennessey,  counsel  for  NBC,  during  rebuttal  arguments  on  the 
Monopoly  report.  He  said  the  sale,  if  consummated,  would  have  left 
the  network  without  sufficient  stations  to  carry  on  a  chain. 

Questioned  as  to  the  reason  for  NBC  maintaining  an 
Artists'  Bureau  for  retaining  the  exclusive  services  of  talent, 

Judge  A.  L.  Ashby,  General  Counsel  for  NBC,  said  the  company  found 
many  problems  in  the  artists'  service  field.  For  example,  he  said 
a  program  for  services  of  an  artist  will  be  sold  and  later  it  would 
develop  that  the  artist  had  sold  his  time  to  some  one  else.  He 
said  that  artists  sought  the  services  of  the  Bureau  voluntarily  and 
that  there  were  200  other  organizations  they  could  choose  to  handle 
their  services. 

Speaking  for  the  Associated  Music  Publishers,  Inc.,  W.  C. 
Herdman  told  the  Commission  that  his  organization  aoproved  all  the 
draft  regulations  advanced  by  the  network  inquiry  committee  as  a 
basis  for  discussion. 


12/6/40 


Ben  S.  Fisher,  representing  the  Association  of  Radio 
Transcription  Producers  of  Hollywood,  Inc.  ,  urged  further  modifica¬ 
tion  of  ~FCC  regulations  respecting  transcription  announcements  by 
omitting  announcement  at  beginning  of  transcribed  programs. 

Transcriptions,  Mr.  Fisher  said,  are  the  life  blood  of 
small  radio  stations  and  their  only  remedy,  against  competition  from 
networks  and  larger  stations. 

Martin  Gang,  of  Independent  Artists  Representatives,  asked 
the  Commission  to  take  steps  to  keep  the  networks  from  destroying 
free  competition  in  the  artists'  agency  field.  He  declared  that 
the  establishment  of  Artists'  Bureaus  by  the  networks  constituted 
unfair  competition  and  threatened  to  destroy  the  independent  bureaus. 

Waddill  Hatchings,  Chairman  of  the  Board  of  Associated 
Music  Publishers,  Inc. ,  commended  the  Monopoly  report  but  expressed 
the  opinion  that  it  does  not  go  far  enough.  He  admitted  that  chain 
broadcasting  was  performing  a  good  service,  but  he  contended  that 
because  it  is  dominated  by  NBC  and  CBS,  it  constitutes  a  monopoly. 

The  two  networks,  he  charged,  have  a  stranglehold  on  the 
industry  by  being  able  to  make  a  "package  offer"  of  talent  and  time 
or  transcriptions.  He  argued  that  the  FCC  should  not  allow  broad¬ 
casters  to  engage  in  the  transcription  business. 


FLAMM  REPORTED  SELLING  WMCA  FOR  $1,000,000 


There  was  no  comment  at  the  Federal  Communications  Commis¬ 
sion  regarding  the  report  that  Donald  Flamm  had  sold  WMCA  in  New 
York  for  $1,000,000  to  a  group  headed  by  Edward  J.  Noble,  former 
Under  Secretary  of  Commerce.  The  record  showed,  however,  that  an 
application  had  been  received  from  the  Knickerbocker  Broadcasting 
Company,  operators  of  WMCA,  for  transfer  of  the  corporation  from 
Mr.  Flamm  to  Mr.  Noble,  along  with  100  shares  of  common  stock.  Mr. 
Flamm  was  quoted  in  New  York  as  saying  that  he  wouldn't  issue  any 
statement  while  the  approval  of  the  petition  was  pending  before  the 
Communications  Commission. 

Some  political  significance  was  attached  to  the  deal  ow¬ 
ing  to  the  fact  that  Mr.  Noble  was  a  strong  backer  of  Wendell  Willkic 
and  his  buying  one  of  the  largest  broadcasting  stations  in  New  York 
was  construed  as  another  move  on  the  part  of  Willkie ' s  friends  to 
strengthen  themselves  for  the  next  campaign.  Mr.  Noble,  a  man  of 
great  wealth,  havin*  made  his  money  through  the  manufacture  of 
"Life  Savers"  candy,  of  which  corporation  he  is  still  Chairman,  and 
a  Republican,  was  appointed  Under  Secretary  of  Commerce  by  President 
Roosevelt  when  Harry  Hopkins  became  Secretary. 

Mr.  Noble  had  previously  served  as  Chairman  of  the  Civil 
Aeronautics  Authority.  Mr.  Noble  resigned  just  before  the  campaign 


4 


12/6/40 


to  run  for  the  Senate  in  Connecticut  and  to  work  for  Wendell  Willkie. 
It  was  pointed  out  that  WMCA  might  prove  very  useful  for  Mr.  Noble 
to  keep  in  touch  with  his  friends  in  Connecticut  in  case  he  should 
decide  to  run  for  the  Senate  again,  as  the  station  is  heard  very 
well  in  that  area. 


Like  Willkie,  Mr.  Noble  served  in  the  World  War.  He  is 
58  years  old,  a  graduate  of  Yale,  and  a  member  of  the  Industrial 
Advisory  Committee  of  the  Federal  Reserve  Bank  of  New  York. 


XXXXXXXX 


CHARGES  FCC  GOING  BEYOND  AUTHORITY 


Hammering  away  on  the  argument  that  the  Federal  Communica¬ 
tions  Commission  network  investigation  Committee  has  no  jurisdiction 
over  the  business  end  of  radio,  Senator  Gurney  (R. ),  of  South 
Dakota,  declared  in  the  Senate: 

’’What  is  our  country  coming  to  when  a  Commission  proposes 
regulations  in  excess  of  its  authority,  though  it  has  made  no  find¬ 
ing  of  abuses?  To  the  contrary,  the  public  appreciation  of  the  ser¬ 
vice  rendered  by  the  networks  is  probably  greater  and  more  wide¬ 
spread  than  the  public  appreciation  for  any  other  industry. 

"How  does  the  Commission,  in  proposing  these  rules,  square 
its  thinking  with  the  decision  of  the  Supreme  Court  of  the  United 
States  given  in  the  Sanders  Brothers  case  only  a  year  ago,  in  which 
it  said: 


"’But  the  Act  does  not  essay  to  regulate  the  business  of 
the  licensee.  The  Commission  is  given  no  supervisory  control 
of  the  progress  of  business  management  or  of  policy. ’ 

"And  how  does  the  Commission  square  its  thinking  with  the 
statement  it  made  in  its  brief  in  the  Supreme  Court  case  I  have  Just 
mentioned,  when  it  said: 

"'But  the  Act  confers  on  the  Commission  no  jurisdiction 
whatsoever  on  the  business  in  connection  with  which  the  trans¬ 
mitting  equipment  is  used.  ’ 

"How  does  the  Commission  square  its  proposals  with  the 
further  statement  of  the  President  of  the  United  States  in  his  let¬ 
ter  of  only  last  Tuesday  to  the  broadcasting  industry  congratulat¬ 
ing  it  on  its  twentieth  anniversary?  In  that  letter  the  President 
said: 

11 ’Your  Government  has  no  wish  to  interfere  or  hinder  the 
continued  development  of  the  American  system  of  broadcasting. 
Radio  was  born  and  developed  in  the  real  American  way,  and 
its  future  must  continue  on  that  basis.  ’  " 

Senator  Gurney’s  interest  in  radio  is  that  he  formerly 
owned  Station  WNAX,  at  Yankton,  S.  D. 

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12/6/40 


Me GRADY  CALLED  TO  HELP  END  DEFENSE  STRIKES 


Turning  to  him  as  perhaps  the  one  man  who  could  do  the 
job.  Secretary  of  War  Stimson  has  enlisted  the  services  of  Edward 
F.  Me Grady,  former  Assistant  Secretary  of  Labor,  now  Vice-President 
in  Charge  of  Labor  Relations  for  the  Radio  Corporation  of  America, 
to  help  put  an  end  to  the  airplane  factory  and  other  National 
Defense  project  strikes  which  have  so  seriously  been  embarrassing 
the  Administration.  Mr.  Me  Grady  nominally  will  have  the  title  of 
Consultant  on  Labor  Matters  to  Secretary  Stimson. 

In  reality  Mr.  McGrady,  who  has  been  released  from  part 
of  his  RCA  duties  by  David  Sarnoff  and  will  serve  the  Government 
without  pay,  will  be  the  War  Department’s  No.  1  Trouble  Shooter. 

In  this  capacity  he  will  be  right  at  home,  having  been  a  labor 
trouble  shooter  for  the  past  40  years.  His  biggest  task  in  this 
line  was  when  hewas  Assistant  Administrator  of  the  NRA,  when  his 
understanding  of  the  labor  point  of  view  and  direct  approach  en¬ 
abled  him  to  settle  labor  disputes  in  the  field. 

Mr.  McGrady  is  expected  to  work  in  with  Sidney  J.  Hillman, 
labor  member  of  the  National  Defense  Advisory  Commission. 

Mr.  McGrady  worked  as  a  newspaper  pressman  in  Boston, 
became  President  of  the  Boston  Printing  Pressmen's  Union  and  later 
was  elected  President  of  the  Boston  Central  Labor  Union  and  the 
Massachusetts  State  Federation  of  Labor. 

For  many  years  he  played  a  large  part  in  the  organiza¬ 
tional  and  legislative  work  of  the  American  Federation  of  Labor. 

He  is  the  author  of  the  Toledo  Peace  Plan  for  averting  labor  strife 
through  employer-employee  cooperation. 

He  was  called  to  a  post  similar  to  his  new  one  when  he 
became  Special  Adviser  on  Labor  Relations  to  Secretary  Baker  in  1917 
and  1918. 

Besides  his  governmental  work  under  Secretary  Perkins  and 
General  Hugh  S.  Johnson,  Mr.  McGrady,  earlier  in  his  career,  was  a 
member  of  the  Boston  Common  Council  and  of  the  Massachusetts  House 
of  Representatives. 

In  recent  years  Mr.  McGrady  frequently  has  advised  the 
War  Department  on  labor  relations  and  has  often  lectured  at  the  Army 
Industrial  College. 

XXXXXXXXX 


6 


12/6/40 


FCC  OUTLINES  ADMINISTRATIVE  PROCEDURE 


The  Federal  Communications  Commission  has  just  issued  a 
12-page  statement  of  that  body's  administrative  procedure.  It 
begins  by  explaining  that  the  Federal  Communications  Commission  is 
composed  of  seven  Commissioners  appointed  by  the  President,  subject 
to  Senate  advice  and  confirmation.  The  President  also  designates 
the  Chairman.  The  normal  term  of  a  Commissioner  is  seven  years.  A 
Commissioner  is  not  permitted  to  engage  in  any  other  business  dur¬ 
ing  such  tenure.  Under  terms  of  the  creative  act,  "not  more  than 
four  Commissioners  shall  be  members  of  the  same  political  party". 

The  Commission  functions  as  a  unit  in  administrative  mat¬ 
ters.  It  retains  direct  supervision  of  all  activities  but  dele¬ 
gates  certain  routine  responsibilities.  Committees,  consisting 
usually  of  three  members,  have  made  special  studies  and  supervised 
particular  undertakings.  A  case  in  point  was  the  report  last  June 
by  such  a  committee  which  investigated  chain  broadcasting  methods. 

As  the  result  of  two  years  of  inquiry,  this  committee  rendered  a 
13000-page  report.  The  latter  was  based  upon  more  than  10,000 
pages  of  testimony  and  nearly  800  exhibits,  obtained  largely  through 
hearings  which  continued  for  73  da.ys. 

The  Commission  normally  holds  at  least  two  en  banc  meet¬ 
ings  each  week.  On  Tuesdays  it  acts  on  various  matters  relating  to 
radio,  and  telegraph  and  telephone.  At  such  time  the  Commission 
considers  - 

Applications  for  construction  permits  for  new  stations 
or  modifications  of  existing  construction  permits  or  licenses 
involving  changes  in  frequency,  power,  transmitter  and  studio 
sites,  or  change  in  name  of  licensee. 

Applications  for  voluntary  or  involuntary  control  of 
company  or  corporation  holding  license. 

Also,  Petitions  for  rehearing;  Dismissal  of  applications; 
Retiring  of  Applications  to  closed  files;  Adoption  of  new  rules  or 
amendments  to  existing  rules;  Suspension  of  amateur  or  operator 
licenses;  Authority  to  supplement  existing  facilities  of  telephone 
or  telegraph  companies;  Extension  of  temporary  authority  to  common 
carriers  to  communicate  with  foreign  countries;  Other  common  car¬ 
rier  matters,  such  as  investigation  and  suspension  of  tariffs,  and 
Admissions  to  practice. 

On  Wednesdays  the  Commission  acts  on  docket  cases,  that 
is  to  say,  cases  which  have  been  accorded  public  hearings.  Where 
the  Commission,  upon  examination  of  a  particular  broadcast  applica¬ 
tion,  is  unable  to  determine  that  a  grant  will  serve  the  public 
interest,  the  case  is  designated  for  formal  hearing  upon  specific 
issues,  and  all  persons  interested  are  given  opportunity  to  be 
heard.  After  a  hearing  has  been  held,  "Proposed  Findings  of  Fact 
and  Conclusions"  are  issued  by  the  Commission.  The  parties  are 
allowed  additional  time  in  which  to  file  exceptions  and  to  request 


7 


12/6/40 


oral  argument  before  final  decision  is  made.  If  no  exceptions  or 
requests  for  oral  argument  are  received,  the  Commission  generally 
issues  an  order  adopting  and  making  effective  its  proposed  decision. 
If  exceptions  are  filed,  the  Commission  may,  after  oral  argument, 
affirm,  modify,  or  reverse  the  proposed  findings.  This  is  the  final 
determination  unless  there  is  a  petition  for  rehearing  or  unless 
there  is  litigation. 

The  work  of  the  Special  Commission  Board  is  defined.  Also 
that  in  addition  to  en  banc  meetings,  the  Commissioners  individually 
preside  at  particular  hearings  when  designated  to  do  so  by  the  Com¬ 
mission.  Each  month  the  Commissioners,  in  rotation,  are  allocated 
other  specific  duties.  These  assignments  are  changed,  thus  permit¬ 
ting  each  Commissioner  to  be  directly  informed  on  various  phases  of 
Commission  activity,  at  the  same  time  conserving  the  principal  por¬ 
tion  of  each  Commissioner's  time  for  consideration  of  matters  in¬ 
volved  in  action  by. the  Commission  as  a  whole.  In  any  month  one 
Commissioner  will  act  upon  applications  for  requests  for  special 
temporary  broadcast  authorizations.  Another  will  consider  motions 
or  petitions  in  cases  designated  for  formal  hearing,  final  disposi¬ 
tion  of  which  is,  of  course,  reserved  for  the  Commission  as  such. 

The  functions  of  the  Law  Department,  Engineering  Depart¬ 
ment,  Accounting,  Statistical  and  Tariff  Department  and  the 
Secretary’s  Office  are  set  forth  in  great  detail.  It  concludes 
with  an  explanation  of  the  hearings  and  motions  docket  in  part  as 
follows : 


The  Communications  Act  requires  that  the  Commission  grant 
radio  authorizations  without  hearing  if  it  is  able  to  determine  from 
the  information  before  it  that  the  authorization  would  serve  public 
interest,  convenience  and  necessity.  Under  present  practice,  when 
the  Commission  is  satisfied  from  the  information  before  it  that  a 
grant  is  warranted,  it  proceeds  to  authorize  the  issuance  of  the 
license,  which  grant  is  final  rather  than  conditional  in  its  terms. 
The  rules  fully  protect  the  interests  of  persons  other  than  the 
applicant  by  providing  for  the  filing  of  petitions  for  reconsidera¬ 
tion  within  a  20-day  period.  The  Commission  then  undertakes  the  bur¬ 
den  of  determining  and  specifying  the  controversial  issues  and  on 
which  the  result  of  the  hearing  must  depend.  In  order  to  save  time 
and  money,  both  for  the  applicant  and  for  the  Commission,  effort  is 
now  made  to  eliminate  issues  which  would  unnecessarily  complicate 
the  hearing. 

The  Commission's  rules  now  require  all  parties  who  desire 
to  appear  in  opposition  to  an  application  to  file  petitions  to  inter¬ 
vene,  by  means  of  which  their  interests  may  be  tested,  and  parties 
are  required  to  make  a  showing  that  the  requested  intervention  will 
be  in  the  public  interest. 

In  1939  the  Commission  made  provision  for  the  holding  of 
oral  argument  on  all  interlocutory  motions,  pleadings  and  matters 
of  procedure  which  arise  in  cases  pending  before  it.  These  inter¬ 
locutory  matters  are  now  placed  on  a  Motions  Docket  presided  over 
by  an  individual  Commissioner,  which  is  called  Friday  of  each  week. 
Provision  has  also  been  made  for  the  disposition  in  chambers  of 
emergency  motions,  after  proper  notice  to  all  parties. 

XXXXXXXX 


— 


12/6/40 


/ 

FORT  INDUSTRY  ESTABLISHES  TOLEDO  RADIO  CENTER 


The  first  move  in  a  plan  to  establish  a  radio  center  in 
Toledo  was  made  recently  when  The  Forst  Industry  Company,  operators 
of  WSPD,  moved  its  executive  offices  into  the  firm1 s  own  building 
at  136  Huron  Street. 

The  building  was  purchased  by  The  ^ort  Industry  Company 
as  the  first  step  in  a  program  to  centralize  the  broadcasting 
activities  of  WSPD  and  the  operations  of  The  Fort  Industry  Co. , 
which  controls  five  other  stations,  under  one  roof. 

Thus  far,  only  J.  H.  Ryan,  Vice-President  of  The  Fort 
Industry  Co,  ,  and  General  Manager  of  all  stations,  and  his  Account¬ 
ing  Department  have  moved  to  the  Broadcast  Building.  The  studios 
and  general  offices  of  WSPD,  which  have  been  located  atop  the 
Commodore  Perry  Hotel  for  a  number  of  years,  will  also  occupy  the 
Broadcast  Building  within  a  year. 

Mr.  Ryan's  office,  with  that  of  George  B.  Storer,  Presi¬ 
dent,  the  accounting  offices  and  an  audition  room  are  situated  on 
the  Broadcast  Building's  second  floor.  WSPD's  studios  and  offices 
will  eventually  be  located  on  the  first  floor.  The  remaining  of¬ 
fices  will  be.  planned  to  let  to  tenants  whose  business  is  allied  to 
the  industry. 

The  Broadcast  Building  has  been  completely  remodeled,  out¬ 
side  and  in.  General  architects  were  Mills,  Rhines,  Bellman  & 
Nordhoff.  Executive  offices  were  designed  by  Robert  Deigert,  Toledo 
architect.  Furnishings  by  Stow-Davis,  Inc.,  Grand  Raoids,  Mich.; 

F.  8.  Myers  and  Son  Furniture  Company,  Toledo;  J.  F.  Bennett 
Studios,  Toledo. 

xxxxxxxxxx 

STATION  WAR  OPENED  TO  AMATEURS 

Radio  amateurs  can  communicate  now  with  Station  WAR,  the 
War  Department's  radio  net  control  station,  during  certain  specific 
periods,  it  was  announced.  The  program  will  expand  activities  of 
the  Army  amateur  radio  system,  which  would  be  utilized  in  an  emer¬ 
gency  . 

Station  WAR  will  use  a  4,025  kilocycle  frequency  every 
Tuesday,  Wednesday,  Thursday  and  Friday  between  7  and  8  P.M.  ,  EST, 
to  communicate  with  amateurs  on  the  3,500-4,000  kilocycle  frequency 
band. 

WAR  will  operate  on  13,320  kilocycles  between  10  and  11 
P.M.  on  the  same  nights  to  pick  uo  calls  from  the  amateurs  on 
14,000-14,400  kilocycles. 

XXXXXXXXXX 


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12/6/40 


SEVEN  STATIONS  GRANTED  POWER  INCREASES 


Power  increases  have  been  granted  to  Station  WFEA, 
Manchester,  N.  H.  ,  from  500  watts  to  1  KW. ,  WBIG,  Greensboro,  N. C. , 
1  to  5  KW;  WNAX,  Yankton,  S.  D.  ,  1  to  5  KW;  KSRO,  Santa  Rosa,  Cal. , 
250  watts  to  1  KW. 

Also,  WTRY,  Troy,  950  watts  to  1  KW;  KGEZ,  Kalispell, 
Mont. ,  100  watts  to  1  KW,  and  KUTA,  Salt  Lake  City,  250  watts  to 
1  KW. 


Power  increases  have  been  applied  for  by  KDRO,  Sedalia, 
Mo.,  which  seeks  1  KW;  WAKR,  Akron,  Ohio,  5  KW;  WMBR,  Jacksonville, 
Fla.  ,  10  KW. ,  and  KLCN,  Blythe ville,  Ark. ,  1  KW. 

xxxxxxxxx 


RULES  WAIVED  FOR  DRAFTED  RADIO  OPERATORS 


As  a  particular  convenience  to  licensees  drafted  or  other¬ 
wise  called  into  military  service,  the  Federal  Communications  Com¬ 
mission  suspended  until  January  1,  1942,  that  part  of  its  rules  and 
regulations  requiring  proof  of  satisfactory  service  in  connection 
with  renewal  of  commercial  and  amateur  radio  operators.  This  blank¬ 
et  exemption  pertains  to  nearly  100,000  operators  of  both  classes. 

General  waiver  of  these  provisions  was  considered  at  a 
conference  of  Commission  officials  with  representatives  of  inter¬ 
ested  labor  organizations,  including  the  International  Brotherhood 
of  Electrical  Workers,  Commercial  Telegraphers  Union  of  North 
America,  American  Communications  Association,  Maritime  Committee 
of  the  C.I.O.,  National  Federation  of  Telephone  Workers,  Federation 
of  Long  Lines  Telephone  Workers,  and  the  Association  of  Technical 
Employees  of  N.  B.  C. 

The  controlling  factor  in  the  formulation  of  this  broad 
and  simple  procedure  was  the  mutual  desire  to  relieve  those  called 
into  service  of  routine  details.  The  Commission  is  aware  of  the 
importance  of  maintaining  the  present  high  standards  of  proficiency 
of  licensed  operators,  and  also  of  guarding  against  a  shortage  of 
such  skilled  workers.  It  will,  accordingly,  continue  to  give  these 
problems  careful  attention,  and  should  experience  indicate  the  need 
for  change  the  Commission  will  act  accordingly. 

XXXXXXXX 


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12/6/40 


TRADE  NOTES 


The  Colonial  Broadcasting  Company  at  Norfolk,  Va. ,  has 
applied  to  the  Federal  Communications  Commission  for  a  new  station 
to  he  operated  on  1200  kilocycles,  250  watts,  unlimited  time. 


The  Columbia  Broadcasting  System  has  been  granted  special 
temporary  authority  to  transmit  Sunday  concerts  of  N.  Y.  Philharmon¬ 
ic  Orchestra  to  Mexican  Station  XEQ,  and  other  stations  located  in 
the  Republic  of  Mexico. 


Station  KFBC,  Cheyenne,  Wyoming,  becomes  an  affiliate  of 
the  National  Broadcasting  Company  December  7.  KFBC  joins  the  Blue 
Mountain  Group  as  a  bonus  outlet,  bringing  the  total  number  of  NBC 
affiliates  to  219  as  of  December  15.  - — " 


Two  new  stations  will  go  on  the  air  soon,  one  at  Lawton, 
Okla.  ,  operated  by  Willard  Carver,  and  the  other  at  Harlan,  Ky. ; 
Blanfox  Radio  Company.  Both  will  be  250  waiters. 


The  Commission  has  amended  its  Rules  Governing  Coastal 
and  Marine  Relay  Services  (Part  7)  and  Rules  Governing  Ship  Service 
(Part  8),  effective  March  1,  1941. 


The  NBC  Radio- Recording  Division  has  just  released,  with 
its  regular  weekly  Thesaurus  continuity,  a  special  script  for  a 
series  of  thirteen  fifteen-minute  participation  shows  entitled 
"The  Christmas  Calendar."  Program  is  timed  to  include  three  minutes 
of  copy,  eight-and-a-half  minutes  of  music,  and  three  one-minute 
commercials. 

— 

WOR  was  awarded  one  of  the  1940  plaques  for  "Showmanage- 
raent"  by  the  trade  publication  Variety.  " Showmanagement "  is  defin¬ 
ed  as  "the  art  of  shrewdly  blending  the  best  practices  of  modern 
business  ’management’  and  ’showmanship'  in  terms  of  the  public,  the 
Government,  and  the  advertiser." 


Tiobert  Henderson  of  the  NBC  News  and  Special  Events 
Department,  a  Lieutenant  Senior  Grade  in  the  Naval  Reserve,  is  the 
first  NBC  employee  to  be  called  for  duty.  ^ 


XXXXXXXX 


11 


12/6/40 


PHILIPS  RADIO  PUTS  NEW  PORTABLE  ON  THE  MARKET 


The  Philips  Radio  N.  V.  ,  of ’Eindhoven,  has  recently  brought 
on  the  market  a  new  portable  4-tube  set,  Model  122  A-B-C,  which  is 
constructed  for  universal  AC-DC  and  battery  operation,  U. '  S.  Consul 
George  R.  Canty,  of  Amsterdam,  reports  through  the  Bureau  of  Foreign 
and  Domestic  Commerce.  There  are  two  operating  knobs,  one  for  tun¬ 
ing  and  the  other  for  both  volume  regulation  and  contacting.  It  has 
a  tuning  rente  of  200  to  595  meters. 


The  set  weights  6  kilograms,  including  batteries,  and  is 
28  c.m.  high,  26.7  c.m.  wide,  and  18  c.m.  deep.  It  retails  for  75 
florins,  including  batteries. 

According  to  the  local  press,  the  case  has  been  fitted 
for  use  abroad  by  a  special  paint  process.  The  tubes  have  been 
especially  designed  in  the  Philips’  laboratory  so  as  to  operate  on 
a  very  small  current  apparatus,  which  is  entirely  adapted  to  the 
sensitive  superheterodyne,  while  the  quality  of  reception  may  be 
enhanced  through  the  use  of  a  common  antenna  connected  to  the  set. 


XXXXXXXXX 


NEW  PUBLIC  NOTICE  NUMBERING 


Since  the  recent  revision  of  the  Federal  Communications 
Commission's  mailing  list,  it  appears  that  Public  Notices  of  ac¬ 
tions  taken  by  the  Commission  on  broadcast,  telephone  and  telegraph 
matters,  now  numbered  consecutively,  should  be  segregated  into  two 
separate  series. 


Therefore,  as  a  convenience  to  keeping  such  record,  start¬ 
ing  December  2,  Public  Notices  of  actions  taken  on  broadcast  matters 
were  designated  as  follows:  ACTIONS  OF  THE  COMMISSION,  Report  No.  1 
(Broadcast).  The  same  system  will  apply  to  Public  Notices  of  ac¬ 
tions  on  telephone  and  telegraph  matters,  l.e.,  ACTIONS  OF  THE  COM¬ 
MISSION,  Report  No.  1  -  (Telephone  and  Telegraph). 


The  last  report  which  will  appear  under  the  old  system  of 
numbering  was  No.  1210. 

XXXXXXXX 


"What  procedure  should  be  followed  in  the  event  of  the 
death  of  a  station  licensee?"  inquires  a  Chattanoogan.  In  such 
cases  the  administrator  of  the  estate  should  make  application  to 
the  Federal  Communications  Commission  for  an  assignment  of  license 
to  be  exercised  pending  settlement  of  the  estate.  When  the  estate 
is  settled,  the  administrator  should  make  application  for  assignment 
of  license  to  the  party  who  is  to  carry  on  station  oneration. 

XXXXXXXX 
-  12  - 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


p.P.OAOC^STWSG  COm 

4  i  \\  ‘'1*-  1 


INDEX  TO  ISSUE  OF  DECEMBER  10,  1940 


Printers  Would  Tax  Stations  Crossing  Over  $25,000 . 2 

FCC  Redefines  "Metropolitan  District"  Term . 3 


New  FM  Call  Letter  System  Devised . 4 

FM  Application  Form  Revised . 5 

Seven  New  FM  Stations  To  Cover  50,000  Square  Miles . 6 

More  Than  200  U.  S.  Stations  Broadcast  In  Foreign  Language . 7 

To  Try  Both  Boston  And  Denver  In  The  830  Kc.  Frequency . 8 

Sees  Radio  Stimulant  In  Reader  Cain . 9 

Trade  Notes . 10 

Radio  Gets  15,000  ASCA?  Songs . 11 

Hope  McGrady  May  Make  Anti-Strike  Legislation  Unnecessary . 11 

FCC  Amends  Rules  'Governing  Operators . 12 

RCA  To  Greet  New  Year  With  Dividends . 12 


December  10,  1940 


PRINTERS  WOULD  TAX  STATIONS  GROSSING  OVER  $25,000 


A  graduated  tax  of  from  10  to  20$  on  the  gross  incomes 
of  broadcasting  station  whose  revenue  is  more  than  $25,000  a  year 
is  said  to  have  been  one  of  the  proposals  in  a  four-point  radio 
legislative  program  which  it  is  understood  the  International  Allied 
Printing  Trades  Association  adopted  at  its  recent  meeting  in  New 
Orleans.  It  was  assumed  that  the  stations  grossing  less  than 
$25,000  annually  -  175  in  number  -  were  mostly  educational  and  non¬ 
revenue  producing  -  and  for  these  the  Printing  Trades  did  not 
advocate  a  tax.  Enactment  of  Congressional  legislation  levying  a 
10$  tax  was  suggested,  however,  on  stations  whose  annual  gross  was 
more  than  $25,000  but  less  than  $100,000.  A  fifteen  percent  tax 
was  advocated  on  a  gross  of  a  station  earning  more  than  $100,000 
but  less  than  $500,000,  and  twenty  oercent  on  a  gross  in  excess  of 
$500,000. 


The  Printing  Trades,  which  believe  radio  profits  should 
be  taxed  because  of  the  inroads  it  has  made  on  the  advertising 
revenues  of  newspapers  and  magazines,  is  understood  to  feel  that 
the  proposed  tax  would  not  be  too  hard  on  the  stations.  It  is  said 
to  have  been  based  on  the  profits  the  stations  themselves  reported 
to  the  Federal  Communications  Commission.  The  assertion  was  further 
made  that  even  after  paying  from  10  to  20  percent  tax,  the  stations 
would  still  make  a  substantial  profit  on  capital  invested. 

John  B.  Haggerty,  President  of  the  Allied  Printing  Trades' 
Association  sometime  ago  declared  that  radio  advertising  which  in 
1929  received  but  3  cents  of  the  advertising  dollar,  in  1939  receiv¬ 
ed  directly  some  19  cents  of  the  advertising  dollar.  For  1939, 
newspapers  received  16  percent  less,  magazines  17  percent  less  and 
fann  papers  50  percent  less  of  the  advertising  dollar  than  they 
received  in  1919.  Where  the  newspaper  and  magazine  advertising  was 
reduced  millions  of  dollars,  the  direct  income  of  radio  broadcasting 
increased  from  $40,000,000  in  1929  to  $170,000,000  in  1919,  he 
asserted. 


Mr.  Haggerty  sounded  a  call  to  arms  to  the  printers  on 
this  because  of  what  he  said  was  the  already  substantial  loss  of 
printers’  jobs,  the  threatened  increased  loss  of  job  opportunities, 
and  because  the  loss  of  advertising  revenues  will  ultimately  mean 
retarding  efforts  of  those  employed  by  the  printed  word  to  secure 
better  wages. 

The  second  point  in  the  four-point  radio  legislative  pro¬ 
gram  adopted  by  the  Allied  Printing  Trades  at  New  Orleans  was  under¬ 
stood  to  be  a  definite  restriction  by  Congress  on  the  sale  of  radio 
time  for  commercial  purposes.  The  printers  would  request  that  here¬ 
after  such  time  be  limited  to  25$.  Again  it  was  argued  that  even 
with  this  restriction  the  radio  stations  and  networks  would  still 
be  able  to  make  a  handsome  profit. 

-  2  - 


12/10/40 


The  third  point  in  the  Printing  Trades  program  was  that 
the  FCC  rule  which  restricts  the  number  of  television  and  FM  licen¬ 
ses  given  to  any  group  be  extended  to  all  radio  licenses  -  that  no 
group  be  allowed  to  have  more  than  three  licenses. 

Point  four  in  the  New  Orleans  program  was  that  Congress 
enact  legislation  restricting  the  issuing  of  radio  station  licenses 
to  persons  other  than  those  residing  in  the  locality  in  which  the 
stations  are  located.  The  assumption  here  is  that  people  who 
actually  live  there  are  better  able  to  understand  the  local  needs 
and  thus  to  better  serve  the  public  interest. 

The  New  Orleans  convention  of  the  International  Printing 
Trades  Association  did  not  declare  for  government  ownership  of  radio'. 
Copies  of  the  four  point  radio  legislative  program  will  be  placed  in 
the  hands  of  every  Senator  and  Representative  in  the  new  Congress 
and  it  is  understood  will  be  vigorously  followed  up  in  other  ways. 

This  is  all  in  line  with  the  declaration  of  Mr.  Haggerty 
last  September  who,  speaking  at  the  Golden  Anniversary  of  the  Inter¬ 
national  Printing  Pressmen  in  Tennessee,  foreshadowed  the  waging  of 
a  bitter  fight  upon  radio  by  the  printers.  He  called  radio  advertis¬ 
ing  the  Frankenstein  of  orinted  publications  that  deprived  thous¬ 
ands  of  printing  trades  workers  of  their  jobs.  Mr.  Haggerty  declar¬ 
ed  that  broadcast  stations  obtained  a  monopoly  from  the  Government, 
for  which  they  paid  the  Government  nothing,  and  have  received  mil¬ 
lions  in  profits.  He  further  recommended  that  every  union  appoint 
a  Radio  Committee,  and  that  that  Committee,  as  well  as  local  mem¬ 
bers  of  the  union  call  the  situation  to  the  attention  of  the  mem¬ 
bers  of  Congress.  Mr.  Haggerty  concluded  by  announcing  that  the 
Allied  Printing  Trades  Association  had  created  a  Committee  on  Radio, 
consisting  of  George  L.  Berry,  President,  International  Printing 
Pressmen;  Edward  J.  Volz,  President  Photo-Engravers  International 
Union,  and  himself  to  act  upon  this  matter. 

The  New  Orleans  action  is,  therefore,  considered  the 
initial  move  to  bring  the  entire  radio  situation,  insofar  as  it 
affects  the  printers,  to  the  attention  of  the  new  Congress  when  it 
convenes  next  month. 

XXXXXXXXX 


FCC  REDEFINES  "METROPOLITAN  DISTRICT"  TERM 


The  Federal  Communications  Commission  amended  the  Rules 
Governing  Standard  Broadcast  Stations  last  week  by  adding  the  fol¬ 
lowing  footnote : 

"The  term  ‘-metropolitan  district'  as  used  in  this  sub¬ 
section  is  not  limited  in  accordance  with  the  definition  given  by 
the  Bureau  of  the  Census  but  includes  any  principal  center  of  popu¬ 
lation  in  any  area11. 

XXXXXXXX 
-  3  - 


■ 


12/10/40 


NEW  m  CALL  LETTER  SYSTEM  DEVISED 


To  provide  distinctive  calls  for  FM  (frequency  modulation) 
broadcast  stations,  the  Federal  Communications  Commission  has  adopt¬ 
ed  a  new  system  of  call  letters  with  interposed  numbers  for  this  now 
commercially  recognized  broadcast  service. 

Under  international  agreement,  to  which  the  United  States 
is  a  party,  the  first  letter  (in  some  cases  the  first  two  letters) 
of  a  call  signal  indicates  the  nationality  of  a  station.  The  United 
States  is  assigned  the  use  of  three  letters  -  N,  K,  and  W.  Hence 
the  present  domestic  assignment  of  combinations  beginning  with  these 
letters.  Call  letters  beginning  with  N  are  reserved  for  the  exclus¬ 
ive  use  of  the  Navy  and  Coast  Guard.  Call  letters  beginning  with 
K  are  assigned  to  broadcast  stations  located  west  of  the  Mississippi 
River  and  in  the  territories.  Call  letters  beginning  with  W  are 
assigned  to  stations  east  of  the  Mississippi  River.  Any  existing 
call  letters  not  in  accordance  with  this  procedure  is  due  to  the 
fact  that  the  station  was  licensed  before  the  allocation  plan  was 
adopted. 

Consequently,  the  first  call  letter  of  an  FM  station  must 
be  K  or  W,  depending  on  its  geographical  location. 

A  second  letter  for  an  FM  station  will  be  assigned  in 
alphabetical  order  (with  exception  of  E,  which  will  be  reserved  for 
non-commercial  educational  stations  using  frequency  modulation)  to 
each  station  on  a  given  frequency  as  licensed,  thus  providing  25 
stations  in  each  area  for  a  given  frequency.  If  more  than  25  sta¬ 
tions  are  assigned  on  a  given  frequency,  an  additional  letter  will 
be  necessary. 

However,  between  the  initial  letter  and  supplemental  let¬ 
ter  (or  letters)  two  numbers  will  be  utilized.  These  numbers  will 
indicate  the  frequency  assignment.  This  is  possible  because  all  FM 
stations  are  in  the  42,000-50,000  kilocycle  band,  and  because  all 
FM  frequencies  are  assigned  on  the  odd  hundreds  in  kilocycles.  Thus, 
the  first  figure  and  the  last  two  figures  of  the  frequency  assign¬ 
ment  can  be  dropped. 

In  addition,  and  where  possible,  the  city  or  area  will  be 
indicated  by  the  second  letter  of  a  combination  of  second  and  third 
letters.  Letter  combinations  of  this  mnemonic  character  have  been 
assigned  to  each  of  the  metropolitan  trading  centers.  Thus,  sta¬ 
tions  in  Boston  will  terminate  with  the  letter  B,  while  stations  in 
New  York  City  will  terminate  with  NY.  Similarly,  station's  in  the 
District  of  Columbia  will  be  identified  with  the  suffix  DC. 

In  brief,  here  is  how  the  system  works:  W41B  would  indi¬ 
cate  an  FM  station  in  the  eastern  section  of  the  country  (Boston) 
operating  on  the  frequency  of  44,100  kilocycles,  By  the  same  token 
K435T  would  apply  to  an  FM  station  in  the  western  part  of  the  United 
States  (San  Francisco)  on  the  44,300  kilocycle  frequency. 

-  4  - 


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12/10/40 


The  letter  E  in  the  alphabetical  arrangement  will  identi¬ 
fy  non-commercial  educational  broadcast  stations  employing  FM  on  the 
new  high  frequency  broadcast  band.  Five  channels  (42,000  to  43,000 
kilocycles)  are  available  to  these  educational  stations. 

There  is  no  international  regulation  to  bar  the  use  of 
this  FM  identifying  system.  In  fact,  a  like  principle  is  followed 
by  Chile  in  assigning  calls  to  standard  broadcast  stations  in  that 
country.  The  arrangement  provides  ample  source  of  calls  for  future 
FM  stations.  It  is  about  the  only  source  of  new  call  combinations 
which  can  be  adapted,  inasmuch  as  other  types  of  calls  are  assigned 
by  treaty  to  stations  and  services  other  than  broadcast.  It  has 
the  additional  advantage  of  permitting  identification  of  the  fre¬ 
quency  actually  used,  and  for  that  reason  should  be  popular  with 
listeners  as  well  as  broadcasters. 

Further,  it  will  not  disturb  the  approximately  15,000 
remaining  four-letter  call  combinations  which  are  being  assigned  to 
the  older  services  at  the  rate  of  between  40  and  50  a  week.  Even 
if  this  average  does  not  increase,  such  a  reservoir  will  not  last 
more  than  six  years.  It  should  also  be  noted  that  under  interna¬ 
tional  treaty,  ship  stations  have  priority  in  the  assignments  of 
radio  call  letters  from  the  four-letter  group. 

XXXXXXXX 


FM  APPLICATION  FORM  REVISED 


The  Federal  Communications  Commission  last  Saturday  an¬ 
nounced  the  adoption  of  a  revised  form  of  application  for  construc¬ 
tion  permit  for  a  new  high  frequency  (FM)  broadcast  stations, 
simplifying  and  clarifying  the  information  requirements. 

The  new  form  (FCC  No.  319,  which  is  expected  to  be  avail¬ 
able  within  a  few  days,  was  adopted  following  a  series  of  confer¬ 
ences  with  representatives  of  the  industry.  At  the  invitation  of 
the  Commission,  a  committee  was  formed  to  represent  the  National 
Association  of  Broadcasters,  the  National  Independent  Broadcasters, 
and  a  specially  constituted  FM  Broadcasters  Committee  on  Applica¬ 
tion  Forms,  as  well  as  the  Commission. 

The  result  was  not  only  simplification  of  the  form  so  as 
to  stimulate  the  development  of  FM  broadcasting,  but  a  better  mutual 
understanding  of  the  problems  of  the  industry  and  the  Commission  in 
presenting  and  determining  facts  on  which  decision  must  be  based. 

It  was  recognized  that  developments  in  this  new  commercial  broadcast 
field  may  at  some  future  time  indicate  the  advisability  of  future 
changes  in  the  form.  The  way  was  left  open  for  meeting  subsequent 
needs  through  like  exchange  of  views. 

Following  completion  of  the  committee's  work  and  adoption 
of  the  revised  form  by  the  Commission,  the  following  statement  was 
made  on  behalf  of  the  industry  group:  "We  think  the  form  has  been 
greatly  simplified  and  clarified  from  the  point  of  view  of  the 


-  5  - 


12/10/40 


applicant.  It  should  be  understood,  of  course,  that  in  all  our 
discussions  we  were  not  dealing  with  any  fundamental  questions  as 
to  the  extent  of  the  powers  of  the  Commission.  Our  committee  was 
well  pleased  with  the  results  of  the  conference," 

The  usefulness  of  joint  discussion  and  cooperation  was 
again  demonstrated  at  the  recent  conferences.  In  this  instance, 
it  was  possible  to  so  far  meet  the  views  of  the  industry  that  the 
changes  made  were  received  with  expressions  of  satisfaction  by  the 
participants.  At  the  same  time  no  requirement  essential  to  furnish¬ 
ing  information  needed  by  the  Commission  in  its  licensing  work  was 
sacrificed. 

XXXXXXXX 


SEVEN  NEW  FM  STATIONS  TO  COVER  50,000  SQUARE  MILES 


The  States  of  Connecticut  and  Rhode  Island,  about  half  of 
Massachusetts,  a  section  of  southeastern  New  York  State,  part  of 
Tennessee,  and  the  Pittsburgh,  Chicago  and  New  York  metropolitan 
districts  are  scheduled  to  receive  regular  FM  programs  from  seven 
additional  stations  authorized  by  the  Federal  Communications  Commis¬ 
sion.  The  prospective  service  areas  of  these  new  stations  aggregate 
nearly  50,000  square  miles  embracing  more  than  20,500,000  potential 
listeners. 

The  slice  of  New  England  referred  to,  plus  southeastern 
New  York  including  nearly  all  of  Long  Island,  constitutes  the  6,100 
miles  of  territory  with  1,118,000  population  to  be  served  by  WDBC, 
Inc.,  of  Hartford,  Conn.,  through  the  medium  of  a  transmitter  locat¬ 
ed  on  the  west  peak  of  Meriden  Mountain,  near  Meriden,  that  State. 

It  will  operate  on  46,500  kilocycles. 

Twelve  million  people  are  in  the  8,500  square  miles  of 
the  potential  metropolitan  service  area  of  Metropolitan  Television, 
Inc.,  and  Bamberger  Broadcasting  Service,  Inc.,  both  of  which  receiv¬ 
ed  grants  to  broadcast  from  New  York,  the  former  on  47,500  kilo¬ 
cycles  and  Bamberger  on  47,100  kilocycles.  Metropolitan's  trans¬ 
mitter  will  be  atop  the  Hotel  Pierre.  Bamberger  will  have  its  sta¬ 
tion  at  444  Madison  Avenue. 

Four  and  one-half  million  persons  are  in  the  10,800  square 
miles  of  the  Chicago  area  scheduled  for  service  under  grants  to  the 
National  Broadcasting  Co.  and  WON,  Inc.  National  Broadcasting  Co., 
operating  from  the  Civic  Opera  House,  will  use  46,300  kilocycles 
(or  another  adequate  frequency).  WON  will  have  a  transmitter  on  a 
485-foot  downtown  office  building,  using  45,900  kilocycles  (or 
another  adequate  frequency). 

About  2,100,000  persons  will  be  in  the  8,400-square-mile 
service  radius  of  the  Walker- Downing  Radio  Corp. ,  which  will  operate 
from  341  Rising  Main  Street,  Pittsburgh.  This  applicant  will 
specify  a  frequency  adequate  for  such  coverage. 


6 


12/10/40 


An  area  of  16,000  square  miles,  with  819,000  population, 
is  to  be  served  by  the  National  Life  &  Accident  Insurance  Co. ,  of 
Nashville,  from  a  transmitter  near  Franklin,  Tenn.  This  applicant 
will  use  44,700  kilocycles. 

These  grants  are  in  addition  to  those  announced  last  month 
as  assuring  regular  FM  programs  for  Detroit,  Los  Angeles,  Schenect¬ 
ady,  Evansville  ( Ind. ) ,  Binghamton  (N.Y. ),  Mt.  Washington  (N.H.), 
Baton  Rouge,  Columbus  (Ohio),  Salt  Lake  City,  Milwaukee,  Chicago 
and  New  York. 

Applications  by  the  Yankee  Network  and  the  Worcester  Tele¬ 
gram  Publishing  Company  to  serve  an  identical  widespread  area  from 
practically  the  same  site  near  Worcester,  Mass. ,  on  the  frequencies 
44,300  and  43,100  kilocycles  respectively,  were  designated  for  joint 
hearing. 

The  FCC  bad  previously  voted,  4  to  2,  in  favor  of  an 
application  of  the  Yankee  Network,  Inc. ,  for  a  FM  station  at  Paxton, 
Mass.  This,  it  was  said,  would  have  given  the  Yankee  chain  FM 
coverage  of  the  entire  New  England  area  and  an  advantage  in  obtain¬ 
ing  income  from  advertisers  in  that  section.  Thus  the  FCC  has 
reversed  its  decision  which  was  criticized  as  granting  a  regional 
monopoly  in  the  new  frequency  modulation  broadcasting. 

The  original  ^CC  action  was  taken  by  Chairman  James  L.  Fly 
and  Commissioners  George  Henry  Payne,  Paul  Walker  and  Frederick  T. 
Thompson.  Commissioners  Norman  S.  Case  and  T.  A.  M.  Craven  voted 
against  granting  the  Paxton  application  without  a  hearing. 

XXXXXXXXX 


MORE  THAN  200  U. 3.  STATIONS  BROADCAST  IN  FOREIGN  LANGUAGE 


Apropos  the  European  war,  there  is  more  than  passing  inter¬ 
est  in  the  fact  that  a  total  of  199  domestic  radio  stations  now 
schedule  broadcasts  in  one  or  more  foreign  languages,  and  57  addi¬ 
tional  stations,  while  not  now  broadcasting  in  any  foreign  language, 
have  done  so  in  the  past  six  months.  These  figures  are  revealed  in 
an  analysis  of  responses  by  broadcast  stations  to  a  recent  question¬ 
naire  of  the  Federal  Communications  Commission. 

Thirty-one  foreign  languages  are  represented  on  1,721  cur¬ 
rent  weekly  programs,  representing  nearly  1,330  hours  of  foreign 
language  programs  a  week.  Approximately  three- fourths  of  this  broad¬ 
cast  time  is  in  the  Italian,  Polish,  Spanish,  Jewish  and  German  lang¬ 
uages,  the  proportions  decreasing  in  the  order  listed. 

The  smaller  stations  appear  to  predominate  in  the  foreign 
language  field,  108  of  the  199  stations  having  power  not  in  excess 
of  250  watts.  However,  a  substantial  number  of  the  stations  which 
devote  a  considerable  amount  of  time  to  foreign  language  programs 
have  greater  power.  There  are  43  stations  which  broadcast  10  or 
more  hours  a  week  in  one  or  more  foreign  languages. 

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12/10/40 


A  preponderance  of  the  stations  using  foreign  languages 
are  located  in  areas  with  considerable  foreign- bom  populations, 
and  assert  that  broadcasts  in  native  tongues  are  popular  with  their 
listeners  and  their  advertisers. 

XXXXXXXXXX 


TO  TRY-  BOTH  BOSTON  AND  DENVER  IN  THE  830  KC .  FREQUENCY 


The  830  kilocycle  frequency  can  be  used  for  broadcast  pur¬ 
poses  at  night  in  Boston  simultaneously  with  its  employment  in 
Denver,  the  Federal  Communications  Commission  holds  in  proposing  to 
amend  its  rules  to  permit  more  efficient  use  of  this  frequency. 

In  proposed  findings  of  fact  and  conclusions,  the  Commis¬ 
sion  proposes  to  grant  the  application  of  Matheson  Radio  Co.,  Inc., 
for  a  permit  to  increase  the  power  of  its  station  WHDH,  at  Boston, 
from  1  to  5  kilowatts  for  unlimited  time  operation  on  the  830  fre¬ 
quency,  using  directional  antenna  at  night.  According  to  the  pro¬ 
posed  findings,  this  will  not  cause  interference  to  the  primary 
service  of  any  station,  and  any  interference  which  such  operation 
may  reasonably  be  expected  to  cause  National  Broadcasting  Company's 
station  KCA  at  Denver,  will  be  limited  to  interference  with  inter¬ 
mittent  reception  upon  receivers  located  in  the  eastern  part  of  the 
United  States. 

"The  granting  of  a  permit  therefor  and  operation  of 
Station  WHDH  as  proposed  by  applicant",  declares  the  proposed  find¬ 
ings,  "will  enable  it  to  deliver  service  of  primary  signal  quality 
to  an  area  having  a  population  of  3,093,000,  or  to  621,000  more 
people  than  are  now  included  within  the  primary  service  area  of  the 
station.  The  hours  of  operation  of  applicant  station  will  be  ex¬ 
tended  two  and  one-half  hours  during  summer  months,  and  a  maximum  of 
five  and  one-half  hours  during  winter  months.  This  will  provide  a 
new  primary  service  to  94. 9  per  cent  of  the  Boston  metropolitan  area, 
including  a  population  of  2,185,000.  In  addition  to  the  aforemen¬ 
tioned  improvements  and  extension  of  service  to  residents  in  the 
Boston  area,  there  will  be  an  improvement  of  service  which  applicant 
station  now  endeavors  to  render  over  the  fishing  banks  situated  off 
the  New  England  coast. " 

Accordingly,  the  Commission  proposes  to  amend  Section 
3.25(a)  of  its  rules  which  now  limits  the  use  of  the  frequency  830 
kilocycles  by  one  full-time  station. 

The  proposed  findings  were  concurred  in  by  Commissioners 
Thompson,  Walker,  and  Payne ,  with  Commissioners  Case  and  Craven 
voting  in  the  negative,  and  Chairman  Fly  not  participating. 

XXXXXXXXX 


8 


12/10/40 


SEES  RADIO  STIMULANT  IN  5$  READER  GAIN 


Commenting  upon  the  fact  that  daily  and  Sunday  newspapers 
have  made  outstanding  gains  over  the  previous  year,  with  dailies 
showing  an  increase  of  4.77$  in  1940,  the  Editor  &  Publisher 
declares : 

"The  fact  that  radio  furnishes  at  least  one  news  broad¬ 
cast  on  one  or  more  spots  on  the  dial  every  quarter  hour  has  not 
reduced  the  public's  appetite  for  printed  news;  it  may  indeed  have 
whetted  the  desire  for  news  presented  for  the  reader's  convenience 
and  easy  understanding  -  a  quality  which  the  newspaper  has  to  an 
immeasurable  degree  over  any  medium  limited  to  vocal  communication. " 

The  war  abroad  and  the  presidential  campaign  at  home  have 
apparently  contributed  to  the  fact  that  morning  and  evening  papers 
show  approximately  the  same  percentage  of  gain  in  circulation. 
Morning  papers  lead  with  4. 99$  increase  over  1939,  with  evening 
papers  showing  a  4.56$  gain  during  the  same  period.  Sunday  papers 
ranked  third  with  an  increase  of  3.16$.  The  combined  morning  and 
evening  totals  show  a  gain  of  4.77$. 

Paul  Scott  Mowrer,  editor  of  the  Chicago  Daily  News,  also 
expressed  the  belief  that  radio  has  done  a  great  service  to  news¬ 
papers  by  stimulating  interest  in  foreign  and  national  news. 

"Radio  supplements  newspapers  in  a  fine  way",  Mr.  Mowrer 
said.  "Radio  and  the  press  are  so  entirely  different  that  I  can't 
see  what  the  quarrel  is  all  about.  If  people  are  really  interested 
in  something,  they  want  to  learn  all  they  can  about  it  -  this  is 
where  the  newspaper  steps  in  and  functions  beyond  the  scope  of 
radio.  " 

The  Daily  News  editor  referred  to  the  pre-radio  era  when 
baseball  was  big  news  before  there  was  a  radio  in  every  barber  shop 
and  the  elevator  boy  could  tell  you  the  score  inning  by  inning. 

"We  found  that  if  spectators  enjoyed  the  game,  they  would  buy  a 
paper  immediately  after  they  le  ft  the  ball  park",  he  said,  "but  if 
they  didn't  enjoy  the  game  -  that  is,  if  it  was  dull  and  uninterest¬ 
ing  -  they  wouldn't  buy  papers.  Radio  serves  as  an  added  stimulant 
to  whet  the  public's  appetite  for  foreign  and  national  news.  Local 
news  does  not  have  so  much  radio  stimulant,  but  for  general  read¬ 
ability,  you  can't  beat  local  copy." 

XXXXXXXX 

New  York  City  is  considering  the  installation  of  two-way 
radio  on  City  ferries  to  expedite  their  operation.  All  the  city's 
fire  and  police  boats  carry  two-way  radio. 

XXXXXXXX 


9 


12/10/40 


TRADE  NOTES 


The  construction  permit  for  a  new  high  frequency  broad¬ 
cast  station  by  the  St.  Louis  Star- Times  Publishing  Company  has  been 
amended  to  change  the  frequency  from  43,100  kilocycles  to  44,700 
kilocycles,  coverage  from  9900  to  12,480  square  miles  and  to 
change  type  of  transmitter. 


The  Associated  Press  will  start  its  new  radio  news  ser¬ 
vice  to  stations  around  the  middle  of  this  month. 


The  American  Telephone  &  Telegraph  Co.  (Long  Lines  Dept. ) 
has  been  granted  by  the  Federal  Communications  Commission  additional 
frequencies  7570,  13400,  18240  kilocycles  for  an  additional  trans¬ 
mitter  at  Ocean  Gate,  N.J.;  and  the  Tropical  Radio  Telegraph  Co., 
Panama  City,  Panama,  as  another  point  of  communication. 


A  Christmas  advertising  campaign  featuring  the  new  Philco 
Photo-Electric  radio  phonograph  is  under  way. 


Proving  himself  a  capable  religious  speaker,  as  well  as 
a  Federal  Communications  Commissioner,  George  Henry  Payne  broadcast 
an  address  over  an  NBC  network  on  Universal  Bible  Sunday,  December 
8.  Commissioner  Payne  spoke  in  part  as  follows: 

"I  am  deeply  sensitive  of  the  honor  that  the  Federal 
Council  of  Churches  and  the  American  Bible  Society  have  conferred 
upon  the  Federal  Communications  Commission  in  asking  a  member  of 
that  body  to  carry  its  message  to  the  American  people.  And  I  thank 
my  fellow  Commissioners  for  having  chosen  me  as  their  voice  on  this 
occasion.  I  have  misgiving  as  to  my  own  worth  as  the  bearer  of  that 
message,  but  no  misgivings  or  doubts  as  to  the  worthiness  and  right¬ 
ness  of  this  being  the  arm  of  government  that  should  carry  this 
message.  " 


The  Louisville  Courier- Journal  has  just  put  on  a  daily 
radio  column. 


R. C.A.  Communications,  Inc.,  has  been  granted  authority 
by  the  Federal  Communications  Commission  to  add  Fort  de  France, 
Martinique  as  a  point  of  communication  to  its  transmitting  sta¬ 
tions  at  Rocky  Point,  San  Juan,  and  New  Brunswick. 


The  nation's  first  commercial  order  for  a  Frequency  Modu¬ 
lation  station  was  received  by  W2X0R,  it  was  announced  by  WCR, 
parent  station,  from  the  Longine-Wittenauer  Co. ,  Inc. ,  New  York 
City. 

XXXXXXXXXXX 


10  - 


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12/10/40 


RADIO  GETS  15,000  ASCAP  SONGS 


Pointed  to  as  an  important  move  in  the  Copyright  fight 
between  ASCAP  and  the  broadcasters,  was  the  announcement  in  New  York 
that  the  Edward  B.  Marks  Music  Corporation,  one  of  the  largest  music 
publishers  in  the  country,  had  transferred  its  catalogue  from  the 
Society  to  Broadcast  Music,  Inc.  The  transfer  becomes  effective 
January  1. 

Mr.  Marks,  one  of  the  early  members  of  ASCAP,  said  that  he 
felt  he  never  had  received  proper  consideration  from  the  Society 
and  that  accordingly  he  was  leasing  the  performing  rights  of  his 
catalogue  of  15,000  songs  to  B.M.I.  Julian  T.  Abeles,  attorney  for 
Mr.  Marks,  said  that  the  lease  was  for  a  five-year  term  at  an 
annual  cost  of  approximately  $250,000,  or  a  total  sum  of  $1,250,000. 


"It's  not  the  first  time  that  Mr.  Marks  has  walked  out  on 
ASCAP  and  no  member  of  the  Society  is  surprised'*,  Mr.  Buck  said. 

"Many  years  ago,  when  we  were  fighting  for  our  lives,  Mr.  Marks  went 
over  to  the  ’tax-free  music'  movement.  Mr.  Marks  is  motivated  pure¬ 
ly  by  his  own  financial  considerations.  " 

Mr.  Marks  denied  that  he  was  a  party  to  the  "tax-free 
music"  movement  of  many  years  ago,  when  some  publishers  withdrew 
from  ASCAP  to  enable  singers  and  bands  to  use  their  songs  without 
charge  on  the  theory  it  would  stimulate  the  sale  of  their  sheet 
music  in  stores. 


XXXXXXXXX 

HOPE  McGRADY  MAY  MAKE  ANTI-STRIKE  LEGISLATION  UNNECESSARY 


That  Edward  F.  Me Grady,  former  Assistant  Secretary  of 
Labor,  Vice-President  of  the  RCA  on  leave,  was  called  in  by  the 
Administration  to  forestall  legislation  to  break  up  National  Defense 
strikes,  is  expressed  by  the  Washington  Post,  in  part,  as  follows: 

"The  return  to  Washington  of  Edward  F.  McGrady  as  labor 
consultant  to  Secretary  Stimson  is  generally  regarded  as  a  move  to 
stave  off  enactment  of  anti-strike  legislation  applicable  to  defense 
industries.  Mr.  McGrady  has  few  peers  as  a  conciliator,  as  shown 
by  his  successful  mediation  of  particularly  tough  labor  disputes 
during  the  turbulent  years  from  1934  to  1937.  But  neither  he  nor 
the  able  conciliators  of  the  Department  of  Labor  can  prevent  strikes 
and  lockouts  in  defense  industries  unless  the  parties  to  a  dispute 
voluntarily  accept  their  offers  to  mediate,  and  voluntarily  agree 
to  abide  by  their  decisions. " 


xxxxxxxxxx 


12/10/40 


FCC  AMENDS  RULES  GOVERNING  OPERATORS 


At  a  meeting  of  the  Federal  Communications  Commission 
having  under  consideration  its  Rules  Governing  Amateur  Radio  Sta¬ 
tions  and  Operators  and  its  Rules  Governing  Commercial  Radio 
Operators,  with  particular  reference  to  the  provisions  concerning 
renewals;  and 

It  appearing,  that  present  conditions  render  it  difficult 
for  commercial  radio  operators  and  for  amateur  radio  station  licen¬ 
sees  and  operators  to  make  a  showing  of  service  or  use  required  for 
renewal  or  license;  and  that  such  difficulty  will  be  accentuated  in 
many  instances  due  to  military  service: 

IT  IS  ORDERED,  that  Sections  12.26  and  12.66  of  the  Rules 
Governing  Amateur  Radio  and  Section  13.28  of  the  Rules  Governing 
Commercial  Radio  Operators,  in  so  far  as  the  required  showing  of 
service  or  use  of  license  is  concerned,  BE,  AND  THEY  ARE  HEREBY, 
SUSPENDED  until  further  order  of  the  Commission,  but  in  no  event 
beyond  January  1,  1942. 

XXXXXXXXXX 


RCA  TO  GREET  NEW  YEAR  WITH  DIVIDENDS 


Following  a  regular  meeting  of  the  Board  of  Directors  of 
the  Radio  Corporation  of  America  held  last  Friday  in  New  York, 

David  Sarnoff,  President  of  the  Corporation,  announced  the  following 
dividends  had  been  declared: 

On  the  outstanding  shares  of  $3.50  Cumulative  Convert¬ 
ible  First  Preferred  stock,  S7-|  cents  per  share,  for  the  period 
from  October  1,  1940,  to  December  31,  1940,  payable  in  cash  on 
January  1,  1941,  to  the  holders  of  record  of  such  stock  at  the  close 
of  business  December  13,  1940. 

On  the  outstanding  shares  of  nB’1  Preferred  stock,  $1.25 
per  share,  for  the  period  from  October  1,  1940,  to  December  31, 

1940,  payable  in  cash  on  January  1,  1941,  to  the  holders  of  record 
of  such  stock  at  the  close  of  business  December  13,  1940. 

On  the  outstanding  shares  of  Common  stock,  20  cents  per 
share,  payable  in  cash  on  January  27,  1941,  to  the  holders  of  record 
of  such  stock  at  the  close  of  business  December  20,  1940. 

XXXXXXXX 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


4  _  LEGAL  DEPARTMENT  j 

is  ii  « ij  1 1 p\  ! 

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j  f  1  jp-  >4 


INDEX  TO  ISSUE  OF  DECEMBER  13,  1940 


Warn  Against  Breaking  Down  Clear  Channels . 2 

New  Commish  Stumps  ’Em . 5 

Monopoly  Brief  Filing  Extended  To  Xmas . 5 

Maj.  Horton  -  Two-Way  Airplane  Radio  Inventor,  Dies . S 

A3CAP-NAB  Scrap  Washington  Boomerang . 6 

F.D.R.  Woos  Business  In  Sarnoff  Letter . 8 

New  Washington  Radio  Station  On  Air . 9 

Radio  Lawyers  Prepare  Xmas  Gridiron . . . 10 

Trade  Notes . 11 

Trammell  Makes  Many  Changes . 12 


i 

:  I 


WARN  AGAINST  BREAKING  DOWN  CLEAR  CHANNELS 


A  sharp  warning  of  the  consequences  of  breaking  the  clear 
channel  rule  in  the  Federal  Communications  Commission  proposing  to 
permit  WHDH  at  Boston,  and  KOA  in  Denver,  to  operate  simultaneously 
on  830  kilocycles  was  conveyed  in  a  10  page  minority  report  by 
Commissioners  T.  A.  M.  Craven  and  Norman  S.  Case.  The  action  to 
allow  these  two  stations  to  operate  at  the  same  time  on  a  clear 
channel  taken  earlier  in  the  week  split  the  Commission  by  a  vote  of 
3  to  2,  Commissioners  Thompson,  Walker  and  Payne  concurring;  and 
Commissioner  T.  A.  M.  Craven,  the  only  radio  engineer  and  technical 
man  on  the  Commission,  and  Commissioner  Case,  the  most  conservative 
member,  voting  in  the  negative.  Chairman  Fly  did  not  vote. 

It  was  said  that  thus  breaking  down  a  clear  channel  would 
be  a  very  bad  precedent  which  would  result  in  poorer  service  to  the 
great  farm  areas.  This  would  also  work  to  the  disadvantage  of  radio 
set  manufacturers.  The  poorer  the  farm  service,  the  less  desire  on 
the  part  of  the  millions  of  farmers  to  buy  sets.  It  was  said  that 
the  entire  radio  industry  might  suffer  as  a  result  of  the  breaking 
down  of  the  clear  channels. 

Also  it  was  argued  that  the  good  accomplished  by  the 
North  American  Regional  Broadcast  Agreement  clearing  out  a  lot  of 
stations  which  had  caused  interference  would  be  offset  by  the  FCC 
breaking  down  the  clear  channels  and  putting  more  back  on.  Inter¬ 
ference  from  such  stations  would  play  havoc  with  the  farm  areas 
between  the  cities. 

Important  conclusions  of  Commissioners  Craven  and  Case 

are : 

"If  proper  weight  is  given  to  all  of  the  factors  discussed 
herein  it  must  be  concluded  that  Station  WHDH  has  not  proved  that 
any  advantage  which  may  accrue  to  him  or  to  the  people  of  the  metro¬ 
politan  district  of  Boston  outweighs  the  disadvantages  of: 

"A.  The  application  of  unsound  engineering  in  the  solution 
of  the  rural  broadcast  problem  of  the  nation. 

"B.  The  establishment  of  a  precedent  which  may  ultimately 
result  in  a  discrimination  against  rural  listeners  in 
favor  of  those  listeners  living  in  metropolitan  centers. 

"C.  The  establishment  of  a  precedent  which  may  result  ulti¬ 
mately  in  handicapping  the  United  States  in  providing 
for  its  people  any  desirable  change  in  the  organization 
of  radio  broadcast  facilities  designed  to  improve  rural 
coverage . 


-  2  - 


12/13/40 


"If  the  Commission  desires  to  degrade  any  or  all  of  the 
few  clear  channels  provided  in  Rule  3.25  (a),  it  would  be  far  bet¬ 
ter  to  do  so  in  a  manner  which  benefits  some  of  the  underserved 
rural  population  of  the  nation  rather  than  to  favor  any  metropoli¬ 
tan  center  already  surfeited  with  radio  service. " 

Other  excerpts  from  the  Craven- Case  minority  report 

follow: 


"The  applicant  contends  that  operation  of  WHDH  nighttime, 
simultaneously  with  KOA  would  not  cause  interference  to  the  latter, 
but  the  testimony  on  this  question  is  not  in  agreement. ”  . 

"Upon  consideration  of  all  the  evidence  material  to  the 
issue,  it  is  concluded  that  operation  of  WHDH  as  proposed  would 
cause  interference  to  the  reception  of  service  rendered  by  Station 
KOA  in  its  extended  secondary  service  area.  " . 

"Many  radio  listeners  in  the  nation  must  not  only  rely 
upon  secondary  service  from  clear  channel  stations  for  the  only 
broadcast  service  available  to  them  but  also  millions  of  listeners 
now  rely  upon  a  low  grade  of  secondary  service  in  order  to  enjoy 
any  broadcasting  whatsoever.  The  most  important  problem  confront¬ 
ing  the  Commission  is  to  provide  an  improved  radio  service  to 
these  rural  listeners.  It  appears  that  in  any  successful  solution 
of  this  problem  of  rural  broadcast  coverage  the  Commission  must 
rely  primarily  upon  clear  channel  stations  operating  in  accord  with 
both  Rule  3.25(a)  and  Rule  3.25(b),  which  now  limit  the  use  of  the 
frequency  830  kc. ,  by  one  full-time  station" . 

"All  the  clear  channels  now  provided  are  barely  sufficient 
to  provide  service  for  the  rural  areas  of  the  country  at  night. 

Much  of  the  rural  areas  receive  no  service  in  the  daytime.  There¬ 
fore,  any  reduction  in  the  number  of  either  'of  these  classes  of 
clear  channels  would  handicap  the  Commission  in  providing  the  much 
needed  improvement  in  rural  coverage.  This  becomes  obvious  when  it 
is  assumed  (1)  that  the  listeners  in  rural  areas  are  entitled  to 
a  choice  of  a  minimum  of  four  different  programs,  such  as  now  pro¬ 
vided  to  radio  listeners  in  most  of  the  metropolitan  centers  of  the 
nation;  (2)  that  the  engineers  of  the  country  are  correct  in  their 
assertion  that  each  rural  listener  having  available  only  secondary 
service  must  have  signals  available  from  at  least  two  stations 
transmitting  the  same  program  in  order  to  obtain  a  reasonable  degree 
of  continuity  of  service;  and  (3)  that  to  secure  the  most  ideal 
geographical  distribution  of  clear  channel  stations  from  the  stand¬ 
point  of  rural  coverage,  it  would  be  necessary  to  disregard  natural 
economic  laws  and  establish  such  stations  in  places  remote  from 
markets  and  the  centers  of  talent. 

"The  technical  quality  of  radio  service  in  our  cities  is 
superior  to  that  now  rendered  rural  areas  throughout  the  nation. 
Therefore,  any  course  of  action  which  handicaps  the  future  ability 
of  the  Commission  to  equalize  quality  of  service  between  cities  and 
rural  areas  would  be  classed  as  discrimination  against  the  rural 
population.  A  reduction  of  the  number  of  clear  channels  may  easily 


3 


. 


' 

■J  *1  s 


12/13/40 


result  in  real  discrimination  against  rural  listeners  in  favor  of 
the  population  living  in  metropolitan  centers. 

"In  the  consideration  of  the  important  rural  phase  of 
the  national  radio  broadcasting  problem,  the  Commission  must  balance 
the  effect  of  Paragraph  B,  8(d)  of  Part  II  of  the  North  American 
Regional  Broadcasting  Agreement,  which  reads  as  follows: 

"'(d)  If  within  the  period  of  this  Agreement  the  country 
to  which  a  clear  channel  has  been  assigned  shall  have  made 
use  of  the  channel  but  not  in  the  manner  above  prescribed 
or  not  to  the  extent  required  by  the  provisions  of  this 
Agreement,  such  country  shall  be  considered  as  having 
relinquished  that  portion  of  the  rights  which  it  has  not 
used  and  at  the  expiration  of  this  Agreement  the  other 
countries  party  thereto  shall  have  the  right,  if  they  see 
fit,  to  withdraw  the  unused  privileges  from  such  country 
and  to  reassign  them  to  any  or  all  of  the  other  interested 
countries.  '* 

"This  means  that  if  the  United  States  should  degrade  the 
service  on  a  particular  class  of  radio  channel  on  which  it  now  has 
prior  rights,  the  United  States  would  lose  its  right  to  protection 
against  the  use  of  such  channel  in  like  manner  by  other  nations. 

For  example,  if  the  United  States  now  designates  a  station  to 
operate  in  accordance  with  the  Commission's  Rule  3.25(a),  other  na¬ 
tions  must  not  permit  stations  within  their  borders  to  operate  in 
such  a  manner  as  to  cause  interference  to  the  service  of  the  United 
States'  station  within  the  borders  of  the  United  States.  " . 

"Listeners  in  these  western  areas  of  the  country  do  not 
receive  either  the  quality  or  the  variety  of  service  now  available 
to  the  citizens  of  Boston.  Therefore,  to  degrade  further  the  ser¬ 
vice  of  rural  listeners  dependent  in  whole  or  in  part  upon  KCA 
and  other  clear  channel  stations  is  an  Injustice.  Moreover,  favor¬ 
able  Commission  action  in  an  isolated  instance  of  this  nature  cre¬ 
ates  a  precedent,  the  mere  existence  of  which  may  handicap  future 
ability  to  secure  improved  broadcast  service  to  rural  areas.  There¬ 
fore,  such  favorable  action  in  this  case  would  constitute  an  action 
resulting  ultimately  in  the  establishment  of  an  unsound  policy  for 
the  nation  as  a  whole.  An  unsound  public  policy  of  this  nature 
obviously  would  not  benefit  the  listening  public.  Furthermore, 
this  deterioration  of  radio  service  is  bound  to  result  in  reper¬ 
cussions  against  the  entire  radio  industry. 

"In  this  instance,  granting  in  full  the  application  of 
WHDH  would  limit  the  future  freedom  of  action  of  the  Commission  in 
two  ways,  to  wit.  ,  (1)  it  would  reduce  the  needed  number  of  clear 
channels  under  Rule  3.25(a),  and  (2)  it  would  ultimately  accord 
rights  to  other  nations  which  rights  are  not  now  conceded  in  the 
North  American  Regional  Broadcast  Agreement.  " 

xxxxxxxx 


-  4  - 


10/  *±u 


NEW  COMMISH  STUMPS  ‘EM 


It  is  hoped  that  when  President  Roosevelt  returns  to 
Washington  Monday  from  his  fishing  trip  in  the  Caribbean,  that  he 
will  appoint  the  new  member  to  the  Federal  Communications  Commission 
to  succeed  Col.  Thad  H.  Brown.  Although  communications  are  supposed 
to  be  paramount  in  the  National  Defense  emergency,  the  position 
has  been  vacant  for  six  months  -  since  June  30th  to  be  exact. 

Although  numerous  names  have  been  mentioned,  people 
usually  well  informed  seem  to  be  in  the  dark  as  to  who  it  may  be. 
Except  that  it  must  be  a  Republican  and  that,  as  usual,  the  appoint¬ 
ment  will  probably  be  political  rather  than  anyone  particularly 
qualified  or  acceptable  to  the  industry,  nothing  is  known  as  to  the 
appointee . 

XXXXXXXXXX 


MONOPOLY  BRIEF  FILING  EXTENDED  TO  XMAS 


The  FCC  has  extended  the  time  of  filing  supplementary 
briefs  in  the  so-called  Monopoly  hearings,  on  whether  regulations 
should  be  enacted  governing  chain  broadcasting  to  Tuesday,  December 
24.  The  original  date  set  was  December  16th. 

The  extension  was  asked  for  by  the  National  Broadcasting 
Company  which  request  was  granted  by  Commissioner  T.  A.  M.  Craven, 
who  was  acting  for  the  Commission  at  that  time.  The  NBC  asked 
for  a  further  extension  until  Thursday,  January  2,  1941,  and  this 
additional  request  has  been  referred  to  the  full  Commission  for 
action. 

XXXXXXXXXX 


MAJ.  HORTON  -  TWO-WAY  AIRPLANE  RADIO  INVENTOR,  DIES 

Maj.  Harry  Mack  Horton,  U.3.  Army,  retired,  inventor  of 
the  two-way  airplane  radio,  died  last  Monday  in  Walter  Reed  Hospital 
in  Washington,  D.  C. ,  at  the  age  of  63. 

He  devised  and  perfected  the  first  method  of  radio  com¬ 
munication  from  airplanes  to  the  ground  shortly  before  entering  the 
Army  as  a  World  War  Air  Corps  Captain,  and  the  United  States  Govern¬ 
ment  paid  him  $75,000  for  its  use  during  the  war. 

In  Europe  at  the  time  as  chief  assistant  to  Dr.  Lee 
deForest,  who  is  considered  one  of  the  outstanding  pioneers  in  radio 
Major  Horton  worked  in  his  spare  time  on  a  "trailing  antenna"  that 
is  still  in  use.  Perfecting  the  antenna  in  two  years'  work,  he 
offered  it  to  Dr.  de  Forest,  but  his  employer  declined  to  take  any 
credit  for  its  invention.  Dr.  deForest  and  Maj.  Horton  were  honored 
Jointly  last  year  at  the  New  York  World's  Fair  with  a  testimonial 
dinner  in  recognition  of  the  device. 

During  the  war,  Major  Horton  was  an  instructor  of  air¬ 
plane  pilots  and  radio  operators  in  California. 

XXXXXXXXX 
-  5  - 


12/13/40 


A3CAP-NAB  SCRAP  WASHINGTON  BOOMERANG 


If  the  music  war  we  re  settled  tomorrow  -  and  indeed  there 
is  no  such  prospect  at  this  writing  -  a  tremendous  amount  of  damage 
will  already  have  been  done  in  Washington  to  both  sides.  It  has 
been  a  regrettable  squabble  between,  as  Sigmund  Spaeth  puts  it,  the 
biggest  wholesaler  of  musical  compositions  with  the  biggest  retailer 
This  has  called  the  attention  of  Congress  and  the  nation  to  how  much 
money  both  sides  were  making  doing  business  in  the  public  domain, 
without  paying  for  the  privilege. 

Unless  this  writer  is  much  mistaken,  regardless  of  how 
the  copyright  war  is  settled,  it  will  serve  to  pull  the  temple  down 
on  the  participants  who  will  most  certainly  suffer  at  the  hands  of 
the  new  Congress.  It  is  my  belief  that  not  only  is  there  a  pos¬ 
sibility  of  a  Congressional  investigation  in  an  effort  to  fumigate 
the  past  record  of  the  Federal  Communications  Commission  and  other 
things  beginning  where  the  Thad  Brown  Senate  hearings  left  off,  but 
an  inquiry  into  the  monopoly  and  profit-making  angles  of  chain 
broadcasting.  This  to  be  followed  in  the  new  Congress  by  proposals 
of  tax  on  broadcasting  stations  such  as  the  10-20$  levy  which  will 
be  urged  upon  the  members  of  the  forthcoming  Congress  by  the  Inter¬ 
national  Allied  Printing  Trades  Association. 

Much  of  this  could  have  been  avoided  had  the  Composers 
and  the  Broadcasters  gotten  together  without  the  sound  effects.  As 
it  is  now,  it  is  becoming  noisier  every  day  and  don't  think  for  a 
minute  that  Congress,  the  Department  of  Justice,  the  FCC,  and 
official  Washington  in  general  aren't  taking  it  all  in. 

One  excited  band-leader  went  so  far  as  to  write  a  personal 
letter  to  the  President  suggesting  that  WPA  funds  be  used  to  pay 
ASCAP,  thus  relieving  the  Broadcasters  of  the  differential  and  set¬ 
tling  the  fight. 


During  the  week  there  were  several  other  developments  at 
the  Washington  end  of  the  line.  One  of  these  was  the  U.  S.  Supreme 
Court  accepting  for  review  a  case  that  may  determine  whether  ASCAP 
is  an  illegal  monopoly  as  charged  in  Nebraska  litigation  growing 
out  of  a  battle  there  over  control  of  prices  charged  for  music 
played  for  public  entertainment. 

Officials  of  Nebraska  sought  a  review  by  the  highest 
Court  of  a  decision  holding  invalid  a  State  anti-monopoly  law  aimed 
at  ASCAP  which  permitted  public  playing  of  music  upon  payment  of 
the  original  purchase  price.  This  would  break  down  the  ASCAP  charge 
for  music  publicly  played. 

A  three- judge  Federal  Court  held  that  the  legislation 
violated  the  national  copyright  law  by  depriving  the  copyright  owner 
of  the  right  to  sell  or  withhold  from  sale  as  he  might  choose. 

The  legislation  was  challenged  by  the  American  Society  of 
Composers,  Authors  and  Publishers,  which  controls  the  copyrights  on 


-  6 


v ;  .. 


. 


12/13/40 


some  90  percent  of  the  music  played  in  this  country.  It  contended 
it  was  entitled  to  extra  payment  for  music  publicly  played. 

The  Federal  Communications  Commission  rejected  the  plea 
of  Frank  Hummert,  Vice-President  of  a  New  York  advertising  agency 
that  spent s  about  $10,000,000  a  year  on  radio  programs,  that  the 
Commission  mediate  the  controversy.  The  refusal  was  on  the  ground 
(a)  that  the  FCC  had  no  jurisdiction  over  programs  and  (b)  that  it 
had  not  been  asked  to  mediate  by  either  of  the  principal  parties 
concerned  -  the  Broadcasters  or  the  Composers.  It  was  the  conten¬ 
tion  of  Mr.  Hummert  that  it  would  take  twenty  years  to  develop 
enough  music  to  replace  the  familiar  tunes  now  controlled  by  ASCAP, 
adding  that  "familiar  music  is  the  backbone  of  most  of  the  success¬ 
ful  musical  programs  and  90$  of  the  best  familiar  music  is  con¬ 
trolled  by  ASCAP”. 

A  possible  settlement  by  consent  decree  of  the  six-year- 
old  anti-trust  suit  against  the  ASCAP,  which  might  lead  to  a  recon¬ 
ciliation  of  the  Society’s  current  differences  with  the  radio 
industry,  was  reported  by  the  Department  of  Justice  in  Washington. 

The  Department’s  statement  was  denied  in  New  York,  however,  by 
E.  C.  Mills,  of  ASCAP ’s  Administrative  Committee,  who  said  that 
there  had  been  no  negotiations  looking  toward  a  decree. 

Speaking  at  Frederick,  Md. ,  which  is  almost  a  suburb  of 
the  National  Capital,  where  a  group  of  famous  composers  went  to 
stage  a  musical  festival  in  the  home  of  Francis  Scott  Key,  author 
of  the  ''Star  Spangled  Banner”,  John  G-.  Paine,  General  Manager  of 
ASCAP  said  that  WFMD  at  Frederick  is  regarded  by  ASCAP  as  a  typical 
broadcasting  station  and  in  signing  its  contract  to  furnish  the  sta¬ 
tion  with  the  music  of  the  great  and  familiar  composers,  he  declared, 
"We  feel  we  are  honoring  some  350  stations  throughout  the  country, 
and  that  the  work  of  our  composers  is  being  played  for  the  people 
of  Maryland  and  not  at  the  whim  if  the  chain  operators  in  New  York”. 

Mr.  Paine  challenged  the  right  of  the  networks  to  "boy- 
cott  us  just  because  we  have  the  temerity  to  say,  'If  you  want  to 
use  our  music  you  should  share  with  us  in  the  profits  you  make  from 
its  use ' .  ” 

xxxxxxxxxx 

Annoyance  caused  by  his  neighbors'  radios  "turned  full 
volume”  is  cited  by  a  Piqua,  Ohio,  resident.  Such  things  ere  out¬ 
side  the  Federal  Communications  Commission's  jurisdiction.  Many 
cities  have  anti-noise  ordinances  intended  to  meet  this  situation. 

The  Commission  also  advises  it  cannot  accommodate  a  New 
York  listener  who  would  compel  the  major  networks  to  discontinue 
identical  programs. 


XXXXXXXXXX 


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12/13/40 


R.  WOOS  BUSINESS  IN  SARNOFF  LETTER 


After  confining  business  and  industry  to  the  dog-house 
for  some  years,  President  Roosevelt  assumed  an  entirely  different 
attitude  in  a  message  to  the  Economic  Club  of  New  York,  assembled 
last  Monday  night  to  discuss  "National  Unity  for  Defense". 


The  text  of  the  President's  message,  sent  from  the 
cruiser  "Tuscaloosa"  in  the  Caribbean,  and  addressed  to  David 
Sarnoff,  President  of  the  Radio  Corporation  of  America,  who  is  also 
President  of  the  Economic  Club,  follows,  in  part: 

"Dear  David: 

"I  regret  exceedingly  that  I  cannot  be  with  you  on  the  occasion 
of  the  one  hundred  and  thirty- fourth  dinner  of  the  Economic  Club 
of  New  York  and  the  first  under  your  guidance  as  president.  A 
tremendous  opportunity  for  useful  service  is  yours. 

"I  know  of  no  greater  objective  any  organization  can  have  than 
the  stated  purpose  of  your  club  'to  aid  in  the  creation  and  expres¬ 
sion  of  an  enlightened  public  opinion  on  economic  and  social  sub¬ 
jects.  1  I  like  particularly  the  inclusion  of  social  subjects  in 
the  discussion  of  economics.  The  two  belong  together.  You  and  I 
know  that  in  order  to  maintain  our  American  system  of  private  initi¬ 
ative  and  private  enterprise,  it  must  function  as  a  system  that 
will  do  the  greatest  good  for  the  greatest  number.  It  is  only  by 
keeping  our  economy  socially  conscious  that  we  can  keep  it  free.  .  . 

"There  can  be  no  real  unity  where  the  people  have  no  voice.  In 
a  democratic  order,  national  unity  is  the  voluntary  expression  of 
the  mind  and  spirit  of  a  free  people.  Such  unity  gives  our  demo¬ 
cracy  an  un shake able  strength. 

"The  freedoms  that  we  must  and  will  protect  in  the  United  States 
are  the  freedoms  which  will  make  the  individual  paramount  in  a  true 
democracy.  In  our  American  way  of  life  political  and  economic  free¬ 
dom  go  hand  in  hand.  Our  freedoms  must  include  freedom  from  want, 
freedom  from  insecurity  and  freedom  from  fear.  I  firmly  believe 
that  we  can  best  secure  these  freedoms  by  government  and  private 
enterprise  working  together  for  these  common  objectives.  In  this 
Joint  effort  there  must  be  provided  proper  reward  for  labor,  proper 
incentive  for  enterprise  and  a  proper  return  on  investment. 

.. 

"Today  the  challenge  which  we  as  a  democracy  must  meet  is  the 
challenge  to  make  the  best  possible  use  of  our  vast  resources,  and 
to  achieve  speedily  the  common  purpose  of  national  defense  and 
national  progress.  It  is  a  challenge  to  government,  to  labor,  to 
industry,  and  to  capital  alike.  I  have  unbounded  faith  that  we 
shall  succeed  in  this  task.  " 


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12/13/40 


NEW  WASHINGTON  RADIO  STATION  ON  AIR 


WINX,  newest  radio  station  in  Washington,  D.  c. ,  was 
officially  tested  last  Tuesday  evening  hy  the  FCC.  It  is  the 
Capital’s  fifth  station,  the  others  being  WMAL  and  TOC,  of  the 
National  Broadcasting  Company;  WJSV,  of  the  Columbia  Broadcasting 
System,  and  WOL,  of  the  Mutual  Broadcasting  System. 

An  additional  transmitter  of  WINX  is  located  on  the  campus 
of  American  University  overlooking  the  city,  while  the  main  trans¬ 
mitter  -  a  180-foot  tower  -  is  at  the  studios  and  offices  at  Eighth 
and  I  Streets,  N.W.  The  50- watt  booster  is  synchronized  to  pick  up 
the  main  transmitter  of  250  watts  and  to  reamplify  it,  thus  blanket¬ 
ing  the  District  and  its  suburbs,  a  potential  audience  of  more  than 
a  million. 

At  his  offices,  Lawrence  J.  Heller,  owner  and  operator  of 
WINX,  was  jubilant  that  his  opening  day  would  be  the  fateful 
Friday,  the  thirteenth: 

“The  thirteenth  has  been  a  significant  number  in  my 
career”,  he  said.  ”My  law  office  is  on  Thirteenth  Street;  my  radio 
frequency  is  1310;  the  FCC  gave  me  my  construction  permit  on 
February  13.  I'm  therefore  very  optimistic  about  the  future. " 

Reggie  Martin,  formerly  General  Manager  of  WJNO,  West 
Palm  Beach,  holds  the  same  post  with  WINX.  His  staff  includes 
Helen  K.  Mobberley,  formerly  with  the  NBC  staff  in  Washington, 
Commercial  Manager;  Robert  Callahan,  also  formerly  of  the  local 
NBC,  Musical  Director;  Ralph  E.  Cannon,  designer,  builder  and 
Chief  Engineer  of  KFDA,  Amarillo,  Tex. ,  Chief  Engineer;  Pete 
McEvoy,  News  Editor,  and  Jack  B.  Creamer,  Continuity  and  Publicity 
Director. 

The  Program  Department  includes  Anson  S.  Carpenter, 
production;  Elain  Shreve ,  traffic;  Sam  Lawder,  Charles  Murphy, 
Leonard  Meakin,  Maj.  Robb  and  Milton  Shoemaker,  announcers.  The 
engineering  staff  includes  Ross  Beville,  Henry  Meisinger,  Blair 
Jones  and  William  Brubaker.  In  the  Commercial  Department  are  Ethel 
Davis,  C.  Merritt  Trott,  Frances  McKeown,  Douglas  Hall  and  Paul 
Heller. 

xxxxxxxx 

It  is  reported  by  Leonard  Lyons  in  the  syndicated  column, 
HThe  New  Yorker”  that  "Senator  Mead  wants  to  recommend  Louis  Ruppel 
for  the  commissionership  in  your  Federal  Communications  Commission. 
Ruppel,  now  publicity  director  for  C.B.S.,  is  rated  one  of  the  most 
efficient  men  in  radio.  " 

XXXXXXXX 


-  9  - 


RADIO  LAWYERS  PREPARE  MAS  GRIDIRON 


The  following  notice  in  keeping  with  the  holiday  season 
was  served  on  members  of  the  radio  bar  by  Louis  G-.  Caldwell,  noted 
far  and  wide  for  his  hospitality  and  wit: 


Before  the 

FEDERAL  COMMUNICATIONS  BAR  ASSOCIATION 
A  Quasi-Legal  Tribunal 


In  the  Matter  ) 

of  )  ORDER  TO  SHOW  UP 

Herbert  M.  Bingham,  et  Uxor) 

NOTICE  OF  HEARING 


Please  take  notice  that  on  Sunday,  December  22,  1940,  at  the 
hour  of  5  P.M.  and  thereafter  until  the  game  is  called  for  darkness, 
a  hearing  will  be  held  at  the  home  of  the  undersigned  at  2900  Cleve¬ 
land  Avenue,  N. W. ,  Washington,  D.C.,  for  the  following  purposes: 

1.  To  note  the  expiration  of  the  terra  of  office  of  Philip 

J.  Hennessey,  Jr.  ,  Esq.  ,  retiring  president  of  the  Federal 
Communications  Bar  Association,  and  to  deplore  the  fact 
that,  notwithstanding  his  campaign  pledges,  hearings 
before  the  FCC  have  become  even  more  rare  than  they  were 
before  he  took  office; 

2.  To  determine  whether  the  recent  election  of  Herbert  M. 
Bingham,  Esq.  to  the  presidency  of  said  Association  can 
possibly  contribute  to  improving  the  situation  or  other¬ 
wise  meet  the  statutory  requirement  of  public  interest, 
convenience  or  necessity, 

and  such  other  lawful  purposes  as  the  guests  may  deem  meet,  includ¬ 
ing  discussion  of  the  issues  in  an  appropriate  forum  at  the  tea- 
table  and/or  in  the  cocktail  lounge. 

You  are  hereby  requested 

a)  to  be  present, 

b)  to  file  your  appearance  (R. S.V.P.)  by  addressing  it  to 
the  undersigned,  and 

c)  entirely  at  your  option,  to  accompany  your  appearance  with 
a  brief  statement  of  reasons  in  support  of  the  position 
you  intend  to  take  in  oral  argument. 

This  proceeding  will  be  exempt  from  the  requirements  of  the 
Walter- Logan  bill.  Furthermore,  anyone  detecting  any  representative 
of  the  Attorney  General's  Committee  on  Administrative  Procedure  mak¬ 
ing  notes  about  members  of  the  Association  will  please  report  to  the 
management.  (Signed)  LOUIS  G.  CALDWELL 

(My  commission  expired  three  years  ago) 

2900  Cleveland  Avenue, N.W. 

Washington,  D.  C. 


XXXXXXXX 


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? 


TRADE  NOTES 


Station  WCAP  at  Asbury  Park,  N.  J. ,  will  remain  silent  on 
Christmas  Day. 

Glenn  W.  Payne,  veteran  NBC  commercial  engineer,  has  been 
appointed  Budget  Officer.  Mr.  Payne  has  been  with  NBC  since  the 
company  was  formed. 


A  thirty-day  tryout  is  now  being  made  by  the  new  50  KW 
festinghouse  International  Station  recently  moved  from  Pittsburgh 
to  Hull,  Mass. 


R. C. A.  Communications,  Inc.,  has  been  granted  authority 
by  the  Federal  Communications  Commission  to  communicate  with  the 
Government  of  Greenland,  Godhaven  and  Julianehaab,  Greenland,  for 
a  period  not  to  exceed  three  months. 


A  new  250  watt  daytime  station  on  680  kilocycles  will  be 
built  at  Butler,  Pa. 


Station  WINN,  Louisville,  Kentucky,  is  the  latest  affili¬ 
ate  of  the  National  Broadcasting  Company. 


The  Federal  Communications  Commission  has  repealed  exist¬ 
ing  sections  8.22  and  8.23  of  the  Rules  Governing  Ship  Services, 
effective  March  1,  1941,  inasmuch  as  the  definition  of  "ship  ser¬ 
vice"  which  becomes  effective  on  that  date,  will  conflict  with 
existing  sections  8.22  and  8.23  defining  "public  ship  service"  and 
"private  ship  service"  respectively. 


The  RCA  Manufacturing  Company  will  use  radio  and  national 
magazines  to  inform  radio  users  of  the  necessity  of  having  their 
automatic  push-button  receivers  readjusted  next  March,  when  all 
frequencies  above  730  kilocycles  are  to  be  re-allocated  to  conform 
to  the  North  American  Regional  Agreement. 


The  following  applications  of  attorneys  to  practice  before 
the  Federal  Communications  Commission  have  been  approved: 

William  J.  Anderson,  Pittsburgh,  Pa.;  H.  Lee  Boatwright , Jr. 
David  W.  Byron  and  Levi  H.  David,  all  of  Washington,  D.  C. ,  and 
Bernard  A.  Grossman  and  Joseph  Trachtman,  both  of  New  York  City. 

XXXXXXXX 

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12/13/40 


T RAMI, ELL  MAKES  MANY  CHANGES 


Increased  emphasis  on  the  public  service  broadcasting 
activities  of  the  National  Broadcasting  Company  was  announced  by 
Niles  Trammell,  President,  when  general  supervision  of  policies  and 
developments  in  this  field  was  given  to  Dr.  James  Rowland  Angell, 
who  now,  in  addition  to  his  previous  duties,  becomes  NBC  Counsellor 
for  Public  Service  programs.  Included  in  this  category  are  all 
talks,  religious,  educational,  agricultural,  and  children’s  pro¬ 
grams,  as  well  as  others  of  a  public  service  character. 

Mr.  Trammell  also  announced  a  realignment  in  the  artists 
service  work  in  which  the  NBC  Artists  Service  was  discontinued  and 
the  NBC  Concert  Service  formed.  George  Engles,  Vice-President,  was 
placed  in  charge  of  the  Concert  Service,  which  will  handle  the 
management,  sale,  and  promotion  of  all  artists  appearing  in  the 
concert  and  operatic  fields.  The  radio  talent  section  of  the  for¬ 
mer  Artists  Service  was  transferred  to  the  Program  Department  of 
the  company. 

Phillies  Carlin  was  appointed  to  head  the  Red  Network 
as  Program  Manager,  and  William  Hillpot  was  appointed  Blue  Network 
Program  Manager. 

A  new  Program  and  Talent  Sales  Division  of  the  Program 
Department  was  created.  Miss  Bertha  Brainard  becomes  Manager  of 
this  new  division.  She  will  supervise  all  booking  of  artists  for 
radio,  motion  picture  and  personal  appearances. 

A  Central  Booking  Office  with  Miss  Helen  Shervey  as  Man¬ 
ager  will  schedule  all  network  and  local  programs  under  the  direc¬ 
tion  of  the  Red  and  Blue  Program  Managers.  Charles  A.  Wall,  of 
the  Treasurer’s  office,  has  been  appointed  Business  Manager  of  the 
Program  Department. 

The  New  York  Production  Division  has  been  expanded. 

Wilfred  Roberts  continues  as  Manager. 

A  Music  Division  of  the  Program  Department  has  also  been 
established  with  Samuel  Chotzinoff,  Director  of  Serious  Music,  as 
Manager.  The  Musical  Director,  Dr.  Frank  Black,  and  Leo  Spitalny, 
contractor  of  the  house  orchestra,  will  report  to  Chotzinoff. 

A  Public  Service  Division  of  the  Program  Department  has 
been  established  with  Walter  Preston,  Jr.  This  division  will  include 
Womens  and  Children’s  Activities,  Religious  Broadcasting  and 
Educational  Broadcasting. 

A  Director  of  Talks  is  also  established  to  coordinate  with 
the  managers  of  the  Red  and  Blue  Networks  all  talk  programs  of  the 
government,  those  of  controversial  nature,  political  character  and 
forum  discussions. 

Daniel  S.  Tuthill,  formerly  Assistant  Managing  Director 
of  the  Artists  Service  Department  will  be  Assistant  Manager  of  the 
division,  handling  contracts  and  management.  Douglas  Me 
becomes  Assistant  Manager  in  charge  of  sales. 

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2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


L'-oi'.  .  u£.rhri  rfflENT 

i^DECl3,940^ 


INDEX  TO  ISSUE  OF  DECEMBER  17,  1940 


BBC  Records  An  Actual  Air  Battle . 2 

Leaves  Newspaper  Field  For  Radio . 4 

Communications  Defense  Meeting  Called  For  January . 5 

Philips  Only  U.  3.  Competitor  In  Panama . 6 

Radio  Editors’  Group  To  flake  Awards . 6 

Consent  Decree  May  End  ASCAP-NAB  Dispute . 7 

Navy  Starts  Drive  For  5,000  Reserve  Operators . 8 

Radio  Notables  At  Gridiron . 8 

Trade  Notes . 9 

Fake  "SOS"  Was  Only  An  Amateur's  Show . 10 

Supreme  Court  Refuses  Record  Broadcast  Review . 11 

Army  Camp  Bands  Win  Labor  Approval . . . 11 

Qualifications  Necessary  For  FCC  Legal  Practitioner . 11 

KGEI  To  Flash  "Time"  News  To  Far  East . . . 12 

Gen.  Harbord  Reminisces  About  The  Philippines . 12 

More  Praise  For  Trouble  Shooter  McGrady . 12 


No.  129C 


December  17,  1940 
BBC  RECORDS  AN  ACTUAL  AIR  BATTLE 


Part  of  the  text  of  a  radio  record  of  an  actual  battle 
put  on  the  air  by  the  British  Broadcasting  Corporation  and  trans¬ 
cribed  by  Princeton  University’s  Radio  Listening  Center,  is  repro¬ 
duced  below.  Dots  denote  editorial  deletion  or  unintelligible  words: 

Announcer  -  Tonight  for  the  first  time  we  present  a  radio  record  of 
an  actual  air  battle  in  progress.  Charles  Gardner,  the  BBC  air 
observer,  had  the  luck  to  be  on  a  south  coast  trip  with  sound  equip¬ 
ment  when  this  battle  began.  He  at  once  started  reporting,  and  the 
result  is  a  feat  of  impromptu  reporting  unique  in  the  history  of  the 
war  today.  While  Mr.  Gardner  describes  the  action,  the  sounds  of 
battle  cut  through  his  words;  exploding  bombs,  anti-aircraft  fire 
and  bursts  from  the  fighter  planes.  If  you  listen  carefully,  you’ll 
hear  the  sounds  of  close  fighting  in  the  air.  There's  a  noise  like 
a  kind  of  dit,  dit,  dit,  that’s  the  Messerschmitt s  and  brrrrrrrrrt, 
that’s  the  Spitfire  guns.  The  shouting  and  cheering  come  from  the 
anti-aircraft  gunners,  who  are  standing  just  by  our  observer.  This 
is  the  first  time  since  the  war  began  that  listeners  have  been  able 
to  hear  an  air  battle  described  while  it  was  actually  going  on,  and 
by  a  man  on  the  spot. 

Charles  Gardner  -  The  Germans  are  dive-bombing  a  convoy  out  at  sea. 
There  are  one,  two,  three,  four,  five,  six,  seven  dive-bombers, 
Junkers  87's.  There's  one  going  down  on  its  target  now,  but,  but 
he  missed  the  ships.  He  hasn't  hit  a  single  ship.  There  are  about 
ten  ships  in  the  convoy,  but  he  hasn't  hit  a  single  one  (Shouts  of 
the  gunners  in  the  background;  steady  thud,  thud,  of  the  anti¬ 
aircraft  guns).  There,  you  can  hear  the  anti-aircraft  going  at  it 
now.  I  can't  see  anything  -  no.  We  thought  he  got  a  German  one... 
...but  now  the  British  fighters  are  coming  up. 

Here  they  come’  They  come  in  an  absolute  straight  dive  (the 
Junkers,  apparently)  and  you  can  see  their  bombs  actually  going  like 
anything  now.  (Steady  crump,  crump  of  British  guns.)  I’m  looking 
'round  now;  I  can  hear  machine-gun  fire  but  I  can't  see  our  Spit¬ 
fires.  .  .  Oh,  here’s  one  coming  down  now.'  There's  one  coming  down 
in  flames.'  Somebody's  hit  a  German  and  he’s  coming  down  in  a  long 
streak,  coming  down  completely  out  of  control,  a  long  streak  of 
smoke.  .  .  The  pilot's  bailed  out  by  parachute.’  He '  s  a  Junkers  87. 
He's  going  flat  into  the  sea  and  there  he  goes.'  Sma-a-a-a-sh.’ 

And  there  was  a  Junkers  87.  There's  only  one  man  got  out  by 
parachute  and  presumably  a  crew  of  one  in  it. 

Now,  then  -  oh,  there's  a  terrific  mixup  over  the  Channel!  It's 
impossible  to  tell  which  are  our  machines  and  which  are  the  Germans. 
There's  one  definitely  down  in  this  battle  and  there's  a  fight  go¬ 
ing  -  you  can  hear  the  little  rattle  of  machine  gun  bullets  (Sound 
of  heavy  explosion. )  That  was  a  bomb,  as  you  may  imagine.  Here 


2 


12/17/40 


comes  this  one  Spitfire.  (Rattle  of  machine-gun  fire.)  There's 
another  bomb  dropping.  Yes,  dropped  -  it  missed  the  convoy.  You 
know  they  haven't  hit  the  convoy  in  all  this. 

The  sky  is  absolutely  peppered  now  with  bursts  of  anti-air¬ 
craft  fire  and  the  sea  is  covered  with  smoke  where  the  bombs  have 
burst.  But  as  far  as  I  can  see,  there's  not  one  single  ship  hit  and 
there's  definitely  one  German  machine  down.  And  I'm  looking  across 
the  sea  now;  I  can  see  the  little  white  dot  of  the  parachute  of  the 
German  pilot  as  he's  floating  down  towards  the  spot  where  his  mach¬ 
ine  crashed  with  such  a  big  thump  in  the  water  about  two  minutes  ago. 
Now  everything  is  peaceful  for  the  moment.  The  Germans,  who  came 
over  in  about  20  dive-bombers,  delivered  their  attack  on  the  convoy, 
and  I  think  they've  made  off  as  quickly  as  they  came.  The  -  I  can 
see  one,  two,  three,  four,  five,  six,  seven,  eight,  nine,  ten 
Germans  tearing  towards  France  .  .  . 

Well,  that  was  a  really  hot  little  engagement  while  it  lasted  - 
no  damage  done  except  to  the  Germans,  who  lost  one  machine,  and  the 
German  pilot  is  still  on  the  end  of  his  parachute,  though  appreci¬ 
ably  nearer  the  sea  than  he  was.  I  can  see  no  boat  going  out  to 
pick  him  up;  so  he'll  probably  have  a  long  swim  ashore  .  .  . 

Here's  a  Hurricane  coming  back  to  reload.  The  Hurricane  seems 
to  be  smoking.  The  Hurricane's  on  -  no,  I  don' t  think  he's  on  fire. 

I  think  he's  just  opening  his  throttle  on  full,  low  down .  I  guess 

i  that's  oil.  No,  that  Hurricane's  all  right.  No,  he  had  to  dive 
down  low  over  the  water  for  there  were  two  or  three  machines  after 
him.  And  here  he  comes  now,  along  the  harbor.  Here  is  the  Hurri¬ 
cane  returning  from  the  fight  coming  straight  over  our  heads.  (Pro¬ 
longed  roar  of  plane's  motor  as  it  passes.) 

Announcer  -  Meanwhile,  the  Junkers  finished  their  hit  and  run  attack 
and  made  off  towards  France.  But  the  fighter  escort  stayed  behind  to 
protect  the  bombers  from  our  Spitfires  and  Hurricanes.  Several 
fights  developed  in  various  parts  of  the  sky  while  other  British 
single  seaters  flew  straight  out  after  the  bombers.  While  this  was 
happening,  Charles  Gardner  continued  his  commentary. 

1  1 

Charles  Gardner  -  There's  another  fight  going  on,  well  up  now,  I 
s' pose  about  20-25-30,000  feet  above  our  heads,  and  we  can't  see  a 
thing  of  it.  The  anti-aircraft  guns  have  just  put  out  one,  two, 
three,  four,  five,  six  bursts,  but  I  can't  see  the  'planes.  (Steady 
crump,  crump  of  guns. )  There  they  go  again. 

IYes,  there  we  just  hit  a  Messerschmitt  -  oh,  that  was  beauti¬ 
ful  -  he's  coming  down  now  and  I  think  definitely  that  fellow's 
conquered.  Ah,  yes,  he's  coming  down,  he's  almost  crashed  -  Oh, 
he's  coming  down  like  a  rocket  now  .  .  .  Here  he  comes.'  He's  down 
in  a  steep  dive.  We're  looking  for  a  parachute  and  -  No.'  the 
pilot's  not  getting  out  of  that  one!  He's  being  -  followed  down. 
There  are  two  more  Messerschmitts  up  there;  I  think  they're  all 
right.  No,  that  man  is  finished.  I  think  he's  come  down  from 
about  ten  thousand  or  twenty  thousand  feet  to  about  two  thousand 
feet  and  he's  going  straight  down.  He's  not  stopping.  I  think 


12/17/40 


that'^  another  German  machine  that's  definitely  put  (out  of  action). 
I  don’t  think  we  shall  actually  see  him  crash.  (He's  going  into  a 
bank  of  clouds.  He's  smoking  now,  I  can  see  smoke  and  although  we 

can't  count  him  definitely . behind  the  hill,  he  looks 

certainly  out  of  control.  (Anti-aircraft  guns  continue.) 

Now  there's  another  -  another  Messerschmitt.  I  don't  know 
whether  he's  down  or  whether  he's  trying  to  get  out  of  the  anti¬ 
aircraft  which  are  giving  him  a  very  hard  time.  Now  there's  a 
Spitfire  -  there  are  four  fighters  up  there  and  I  don't  know  - 
there  are  one,  two,  three,  five  fighters  fighting  right  over  our 
heads  now,  and  here's  one  coming  right  down  on  the  tail  of  what  I 
think  is  a  Messerschmitt  and,  I  think,  a  Spitfire  right  behind  him. 
Oh,  damn.'  They've  turned  away,  I  can't  see  them  -  I  can't  see  - 
I  can't  see.'  (Two  salvos  from  anti-aircraft  batteries.) 

Voice  in  Background  -  One  crashing,  sir. 


Charles  Gardner  -  One  .  .  .  crashing  -  no,  I  think  he  pulled  out.  .  . 
You  can't  watch  these  fights  very  closely,  you  just  see  the  .  .  . 
machines  with  the  little  burst  of  machine  guns  and  by  the  time  you 
pick  up  the  machines  -  Oh,  There  are  one,  two,  three,  six  machines 
wheeling  and  turning  'round  -  Hark  at  the  machine  guns  going  now  - 
There's  one  coming  right  down  on  the  tail  of  another.'  There  they 
go  -  they're  being  chased  home  and  how  they're  being  chased  home. 
There,  look  at  them  go.'  (Gun  crews  cheer.)  And  there's  a  Spitfire 
just  behind.  .  .  he'll  get  them  -  Ah  -  Yes!  Oh,  boy.'  I've  never 
seen  anything  so  good  as  this.  Our  air  fighters  have  really  got 

these . Our  maching  is  catching  up  with  the  Messerschmitt 

now  -  it's  catching  it  -. . . .  You  can't  tell,  but  I  think  something's 
definitely  going  to  happen  to  that  first  Messerschmitt. 


Announcer  -  That  Messerschmitt  fighter, 
ed  on  the  French  coast. 


it 


was  learned  later, 


c  ra  sh- 


xxxxxxxxxxx 


LEAVES  NEWSPAPER  FIELD  FOR  RADIO 


John  A.  Kennedy,  publisher  of  the  Clarksburg  (W.  Va. )  . 
Exponent ,  has  announced  his  retirement  from  the  newspaper  field  to 
devote  his  time  exclusively  to  the  State  radio  network  which  he 
heads  as  President  and  General  Manager. 


Mr.  Kennedy  said  he  had  disposed  of  his  interest  in  the 
Clarksburg  Publishing  Company  to  the  Virgil  L.  Highland  estate. 

The  company  publishes  the  morning  Exponent ,  the  Telegram,  afternoon, 
and  the  Sunday  Exponent- Telegram .  The  West  Virginia  network  oper¬ 
ates  radio  stations  in  Clarksburg,  Charleston,  Huntington  and 
Parkersburg. 


XXXXXXXXX 


4 


12/17/40 


COMMUNICATIONS  DEFENSE  MEETING  CALLED  FOR  JANUARY 


After  an  intensive  organization  period  covering  almost 
two  months,  the  first  general  meeting  of  the  Defense  Communications 
Board  will  be  held  in  Washington  on  Monday,  January  6,  1941.  The 
chief  function  of  this  group  is  to  coordinate  the  relationship  of 
all  branches  of  communications  to  the  National  Defense,  Jurisdic¬ 
tion  of  the  Board,  in  addition  to  broadcasting,  takes  in  commercial 
radiotelephone,  radiotelegraph  as  well  as  other  telephone,  tele¬ 
graph  and  cable  facilities.  No  consideration  is  being  given  to  radio 
programs  as  the  Board  has  no  power  of  censorship. 

The  Chairman  of  the  Board  is  James  L.  Fly,  Chairman  of 
the  Federal  Communications  Commission,  and  the  members  are  Major 
Gen.  Joseph  0.  Mauborgne,  Chief  Signal  Officer  of  the  Army;  Rear 
Admiral  Leigh  Noyes,  Director  of  Naval  Communications;  Hon.  Brecken- 
ridge  Long,  Assistant  Secretary  of  State  in  Charge  of  the  Division 
of  International  Communications;  Secretary,  Herbert  E.  Gaston, 
Assistant  Secretary  of  the  Treasury  in  Charge  of  the  Coast  Guard. 

There  is  a  Coordinating  Committee  composed  of  E.  K.  Jett, 
Chief  Engineer,  Federal  Communications  Commission,  as  Chairman; 
Francis  C.  de  Wolf,  State  Department;  Ma j .  W.  T.  Guest,  War  Depart¬ 
ment  and  Commander  J.  F.  Farley,  Chief  of  Communications,  U.  S. 

Coast  Guard,  Treasury  Department. 

There  are  eleven  sub-committees,  two  of  which  deal  with 
broadcasting,  one  domestic,  and  the  others  international. 


Because  of  the  large  number  of  representatives  of  the 
industry,  the  hearings  will  be  held  in  Room  A,  Interstate  Commerce 
Commission  Building,  where  the  larger  radio  meetings  take  place. 
General  policies  and  procedure  will  be  discussed  at  the  January 
gathering  and  individual  meetings  of  the  various  committees  will 
be  held  in  the  afternoon  for  the  purpose  of  electing  committee 
chairmen  and  secretaries,  and  also  to  consider  tentative  agenda  of 
work. 

None  of  these  sessions  will  be  open  to  the  public, 
admission  being  limited  to  members  and  their  accredited  representa¬ 
tives. 

The  Board  also  announced  that  the  following  companies  have 
been  added  to  the  membership  of  Committee  II  (Aviation  Radio  Commit¬ 
tee)  to  represent  wire  telegraph  interests: 


American  Telephone  and  Telegraph  Co. 
Postal  Telegraph,  Inc. 

Western  Union  Telegraph  Co. 

xxxxxxxxxx 


5 


12/17/40 


PHILIPS  ONLY  U.  S.  COMPETITOR  IN  PANAMA 


Owing  to  the  small  per  capita  radio  population  and  the 
increasingly  favorable  employment  situation,  Panama  should  afford 
encouraging  sales  possibilities,  Commercial  Attache  Ashley  B. 
lowell,  of  Panama,  reports. 

With  the  exception  of  a  receding  interest  in  Philips  and 
Telefunken  sets,  the  Panama  radio  set  market  is  dominated  by  United 
States  sets  of  several  popular  makes.  Philips  is  believed  to  be 
the  only  set  now  being  offered  in  competition  with  United  States 
sets.  Other  communication  equipment  is  almost  exclusively  from 
the  United  States. 

The  weather  being  tropical  the  year  round  in  Panama, 
there  are  no  special  selling  seasons  except  the  stimulus  that  may 
result  from  the  introduction  of  new  models.  Also  the  Christmas 
season  usually  occasions  more  activity.  Competent  trade  authorit¬ 
ies  estimate  that  there  are  about  12,000  receiving  sets  in  use  in 
Panama  and  the  Canal  Zone,  although  statistical  data  on  the  sub¬ 
ject  are  not  available.  Some  of  the  Canal  Zone  market  is  supplied 
through  the  commissaries,  while  mail  order  houses  also  account  for 
some  business. 


XXXXXXXX 


RADIO  EDITORS  *  CROUP  TO  MAKE  AWARDS 


Radio  Editors  of  America  is  a  new  organization  set  up  as 
a  clearing  house  for  information  to  aid  newspaper  radio  editors 
and  to  make  annual  awards  of  cash  and  plaques  for  radio  authors, 
artists,  programs,  etc. ,  in  20  different  classifications.  J.  E. 
(Dinty)  Doyle,  formerly  Radio  Editor  of  the  New  York  Journal- 
Amerlcan,  is  secretary  of  the  group  with  offices  at  509  Madison 
Avenue,  New  York  City.  Philco  has  provided  the  money  for  the  organ¬ 
ization  as  a  "Foundation 11  but,  according  to  Mr.  Doyle,  will  have 
nothing  to  do  with  either  the  administration  of  the  organization 
or  any  awards  the  radio  editors  make. 

Awards  are  to  be  announced  at  the  first  annual  dinner  of 
the  group  to  be  held  at  the  Waldorf-Astoria,  New  York  City,  Feb.  15, 

On  the  Organization  Committee  are  Dorothy  Doran,  Akron 
Beacon  Journal;  Ben  Kaplan,  Providence  Journal-  Bulletin;  Mary 
Little,  Des  Moines  Register  and  Tribune;  Robert  Locke,  Kansas  City 
Journal;  Jack  McManus,  New  York  PM;  Leo  Miller,  Bridgeport  Herald; 

Si  Steinhauser,  Pittsburgh  Press;  and  Don  Trantor,  Buffalo  Courier- 
Exp  re  ss . 

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12/17/40 


CONSENT  DECREE  MAY  END  ASCAP-NAB  DISPUTE 


Negotiations  between  the  Justice  Department  and  the 
American  Society  of  Composers,  reported  in  this  column  last  week 
to  be  underway,  apparently  have  moved  a  step  nearer  an  armistice. 
They  have  reached  a  tentative  agreement  under  which  the  anti-trust 
prosecution  of  ASCAP  will  be  dropped  on  condition  that  the  Com¬ 
posers  revise  its  music  fee  structure.  The  agreement  will  be 
embodied  in  an  application  to  the  Federal  Court  of  New  York  (South¬ 
ern  District)  for  a  consent  decree  dismissing  the  Government's  six- 
year  old  charges  that  ASCAP 1 s  fee  constitutes  a  monopoly. 

The  Justice  Department  said  last  Monday  that  the  negotia¬ 
tions  which  represent  a  compromise  between  the  Composers  and  the 
Broadcasters  provided  that  ASCAP  would  no  longer  receive  payment 
from  programs  not  containing  the  Society's  music  and  the  networks 
In  turn  would  pay  the  Society  fees  on  chain  broadcasts  instead  of 
apportioning  the  cost  among  the  stations  that  carry  the  program. 

The  main  argument  of  the  Broadcasters  has  been  that  they  want  to 
pay  ASCAP  only  when  they  use  its  music,  whereas  ASCAP  has  been  in¬ 
sisting  that  the  networks  should  bear  a  part  of  the  cost  of  all 
music. 


The  statement  of  the  Justice  Department  confirmed  in  part 
the  first  four  points  of  a  program  that  was  understood  to  be  the 
basis  of  a  possible  consent  decree  in  settlement  of  the  suit. 

The  Department  refused  to  confirm  or  deny  the  specific 
ten  points  in  the  program,  which  follow: 

That  ASCAP  would  discontinue  blanket  licensing  of  radio 
stations  for  the  use  of  its  music;  that  payment  to  ASCAP  would  be 
on  a  per  program  basis;  that  ASCAP  would  not  seek  any  minimum  guar¬ 
antee;  that  music  would  be  cleared  at  its  source;  that  there  would 
be  no  discrimination  between  stations;  that  composers  and  publish¬ 
ers  would  have  an  option  on  whether  they  wanted  to  vest  their 
catalogues  in  the  Society;  that  the  ASCAP  Board  would  be  reorgan¬ 
ized  to  provide  for  the  election  of  new  members;  that  the  ASCAP 
method  of  distributing  fees  received  would  be  revised;  that  the 
requirement  that  a  new  songwriter  must  have  five  songs  published 
before  joining  ASCAP  would  be  eliminated,  and  that  publishers  would 
pay  ASCAP  a  regular  fee  for  clearance  of  their  catalogues. 

XXXXXXXXX 

A  construction  firm  which  would  like  to  establish  tempor¬ 
ary  radio  communication  for  one  of  its  lighters  is  advised  that  thi 
would  constitute  a  "radio  station  licensed  for  ship  service  and 
located  on  board  a  ship  which  is  not  permanently  moored",  the 
Federal  Communications  Commission  rules. 

XXXXXXXX 

-  7  - 


12/17/40 


NAVY  STARTS  DRIVE  FOR  5,000  RESERVE  OPERATORS 


The  Navy  is  seeking  5000  radio  operators  for  the  Naval 
Communications  Reserve  and  in  this  is  turning  to  operators  of 
amateur  radio  stations. 

The  key  station  in  the  Navy  program  is  NAA,  which  is  the 
Naval  radio  station  at  Arlington,  Va.  The  program  includes  four 
two-hour  periods  from  8  to  10  P.M.  on  Mondays,  Tuesdays,  Wednesdays 
and  Fridays.  During  these  periods  officers  of  the  Naval  Reserve 
on  active  duty  in  the  Washington  naval  area  man  the  Arlington  sta¬ 
tion.  The  work  was  begun  November  1  by  Rear  Admiral  Leigh  Noyes, 
Director  of  Naval  Communications,  and  since  that  time  334  amateur 
stations  have  established  communication  with  the  Navy  Department. 

"The  value  of  the  plan  is  evident  because  of  the  shortage 
of  approximately  5,000  communication  ratings  in  the  enlisted  per¬ 
sonnel  of  the  Naval  Reserve ",  Admiral  Noyes  said.  "The  results 
have  been  beyond  expectation  and  their  value  is  inestimable. " 

At  present  there  are  about  1,000  officers  and  5,000  en¬ 
listed  men  who  have  voluntarily  joined  the  Naval  Communications 
Reserve.  They  are  all  amateurs  who  have  signed  up  for  service  in 
the  communications  am  of  the  Naval  Service. 

XXXXXXXXX 


RADIO  NOTABLES  AT  GRIDIRON 


Among  the  prominent  men  identified  with  the  radio  industry 
who  attended  the  famous  Gridiron  Dinner  in  Washington  last  Saturday 
night  were: 

H.  Leslie  Atlass,  Columbia  Broadcasting  System,  Chicago, 
Ill. ;  Gene  Buck,  President,  American  Society  of  Composers,  New  York 
City;  Thomas  Burke,  Chief  of  the  Division  of  International  Communi¬ 
cations,  State  Department;  Harry  C.  Butcher,  Vice-President,  Colum¬ 
bia  Broadcasting  System,  Washington;  Theodore  Granik,  American 
Forum  of  the  Air;  Irving  Herriot,  counsel  for  the  Zenith  Radio  Cor¬ 
poration,  Chicago;  Edward  Klauber,  Vice-President,  Columbia  Broad¬ 
casting  System,  New  York  City;  Thomas  P.  Littlepage,  radio  counsel¬ 
lor,  Washington;  Eugene  F.  McDonald,  Jr.  ,  President,  Zenith  Radio 
Corporation,  Chicago;  Frank  E.  Mullen,  Vice-President  and  General 
Manager,  National  Broadcasting  Company,  New  York  City;  Hugh  Robert¬ 
son,  Treasurer,  Zenith  Radio  Corporation,  Chicago;  Louis  Ruppel,  In 
Charge  of  Press  Relations,  Columbia  Broadcasting  System,  New  York 
City;  David  Sarnoff,  President,  Radio  Corporation  of  America,  New 
York  City;  A.  A.  Schechter,  In  Charge  of  News  Events  Division, 
National  Broadcasting  Company,  New  York  City;  Niles  Trammell,  Presi¬ 
dent,  National  Broadcasting  Company,  New  York  City;  Frank  W.  Wozen- 
craft,  Assistant  General  Counsel,  Radio  Corporation  of  America, 

New  York  City. 


XXXXXXXX 


12/17/40 


TRADE  NOTES 


An  increase  to  10  KW  hes  been  applied  for  by  Station 
KNOW  of  Austin,  Texas,  and  5  KW  by  WMIN ,  of  St.  Paul. 


A  stronger,  lighter  and  more  durable  glass  is  being  pro¬ 
duced  by  a  factory  in  Toledo,  Ohio,  by  the  use  of  a  "radio  beam” 
to  control  the  degree  of  flow  of  the  molten  glass. 


A  charge  was  made  by  Irving  Cesar,  President  of  the  Song 
Writers1  Protective  Association,  that  after  a  year's  activity  and 
the  investment  of  nearly  $3,000,000,  BMI,  the  music  bureau  set  up 
by  the  Broadcasters,  has  not  turned  out  a  single  song  hit. 


Ezio  Pinza,  opera  singer,  instead  of  having  guests  regis¬ 
ter  in  a  book,  makes  a  recording  of  their  voices. 


Station  KLRA  at  Little  Rock,  Ark. ,  now  transmitting  with 
5  kilowatts  seeks  to  join  the  50  KW  class  according  to  an  applica¬ 
tion  received  by  the  Federal  Communications  Commission. 


Mnr 


Much  of  the  realism  of  RCA  Fantasound,  developed  especial¬ 
ly  for  Walt  Disney's  "Fantasia1'  after  years  of  effort,  may  soon  be 
available  to  neighborhood  houses  as  well  as  downtown  theatres 
through  the  medium  of  RCA  Panoramic  Sound. 


At 


it  the  request  of  Senator  Tom  Stewart,  of  Tennessee,  the 
letter  addressed  by  President  Roosevelt  to  David  Sarnoff,  President 
of  the  Economic  Club  in  New  York,  was  reprinted  in  the  Congre ssional 
Record  of  December  12  — — ^ 


Articles  in  the  Bell  Laboratory  Record  for  December  are: 
"Thermistors,  Their  Characteristics  and  Uses/1*  by  G.  L.  Pearson; 
"Devices  for  Combining  DB"  Levels,  K.  G.  Van  Wynen;  "Analysis  of 
Losses  in  Magnetic  Cores",  C.  D.  Owens;  "'Information'  in  Less 
Space",  A.  C.  Gilmore;  "Carrier  and  Pilot  Supply  for  the  J2  Carrier 
System",  L.  R.  Cox;  "Metallic  Bridges  Between  Contact  Points"; 

"A  Coupling  Unit  for  Telephotograph  Transmission",  D.  W.  Grant;  and 
"Measuring  the  Air  Flow  of  Small  Fans". 


The  call  letters  KHA3B  have  been  assigned  the  radio  sta¬ 
tion  in  the  private  plane  (non- scheduled  aircraft)  of  Robert  Taylor, 
the  movie  star,  operating  from  Culver  City,  Calif.  The  last  three 
letters  -  A SB  -  are  the  initials  of  the  reel  Taylor's  real  name, 
Arlington  Spangler  Brough. 


9 


i 


12/7/40 


As  a  result  of  the  increased  recording  activity  in 
Washington,  due  to  national  defense  work  and  other  programs  pro¬ 
duced  in  connection  with  NBC's  contract  with  the  Federal  Government, 
the  NBC  Radio- Recording  Division  has  established  an  office  in  the  - 
Capital  in  the  Trans-Lux  Building. 


An  application  was  filed  last  week  with  the  Federal  Com¬ 
munications  Commission  for  a  construction  permit  to  build  a  new 
100  station  in  Nashville.  The  station  would  be  powered  with  1,000 
watts,  and  would  broadcast  on  a  frequency  of  1,380  kilocycles,  un¬ 
limited  time.  Officers  of  the  comoany  were  James  G.  Stahlman, 
Chairman  of  the  Board;  Silliman  Evans,  President;  E.  G.  Stahlman, Jr. 
Vice-President,  and  E.  P.  Charlet,  Secretary-Treasurer.  Messrs. 
Stahlman  and  Evans,  respectively,  are  Chairman  and  President  of 
the  Nashville  Banner  and  the  Tennessean. 


A  firm  which  proposes  to  broadcast  a  telephone  conversa¬ 
tion  directly  from  the  telephone  lines  is  informed  that  the  Federal 
Communications  Commission  has  promulgated  no  rules  or  regulations 
with  reference  to  programs  of  this  nature.  However,  the  tariffs 
of  the  American  Telephone  and  Telegraph  Comoany  on  file  with  the 
Commission  prohibit  the  use  of  the  company's  regular  teleohone  lines 
for  the  purpose  described.  It  is  further  pointed  out  that  Section 
605  of  the  Communications  Act  provides  privacy  for  wire  and  radio 
communications. 


Dr.  Harry  B.  Summers,  an  instructor  in  the  Department  of 
Public  Speaking  at  Kansas  State  College  since  1932,  has  been 
appointed  Program  Director  of  the  NBC  Public  Service  Division.  For 
the  past  eight  years,  Dr.  Summers  has  taught  classes  in  radio  broad¬ 
casting,  program  production  and  re  search  in  fields  related  to  broad¬ 
casting. 


xxxxxxxxxx 

FAKE  "SOS"  WAS  ONLY  AN  AMATEUR'S  SHOW 

A  fake  "SOS"  marine  distress  call  has  been  traced  by  the 
Federal  Communications  Commission  field  inspectors  to  a  New  England 
amateur  radio  operator.  Investigation  developed  that  the  signal 
which  caused  useless  concern  and  wasted  valuable  time  was  part  of  a 
dramatic  program  reproduced  by  the  amateur  in  question  to  give  his 
fellow  hams  "code  practice".  The  Commission  warns  the  amateur  that 
transmission  of  this  danger  signal  is  inappropriate  for  code  prac¬ 
tice,  or  in  any  other  situation  when  an  actual  emergency  does  not 
exist . 

On  the  other  hand,  the  Commission  has  taken  cognizance  of 
the  valuable  contribution  by  amateurs  in  providing  emergency  com¬ 
munication  during  the  recent  Texas  flood,  when  regular  wire  facil¬ 
ities  were  temporarily  disrupted. 

XXXXXXXXX 
-  10  - 


....  , 


»*- 


12/17/40 


SUPREME  COURT  REFUSES  RECORD  BROADCAST  REVIEW 


The  Radio  Corporation  of  America  and  Paul  Whiteman  lost  a 
plea  to  continue  control  of  recordings  of  his  orchestra’s  music 
after  sale  to  the  public  when  the  . Supreme  Court  declined  to  review 
a  decision  of  the  Second  Circuit  Court  of  Appeals.  Suit  to  enjoin 
broadcasting  of  the  records  was  asked  by  Mr.  Whiteman  and  RCA  in 
the  lower  courts.  They  pointed  out  that  the  records  bore  notices 
supposedly  restricting  them  to  non- commercial  use  in  private  homes. 

A  trial  court  agreed  with  this  argument.  Judge  Vincent 
Liebell  held  that  Mr.  Whiteman  had  a  common-law  property  right  to 
control  the  use  of  his  work.  The  Second  Circuit  Court,  however, 
decided  that  any  common-law  property  rights  ended  with  the  sale  of 
the  records. 


The  injunction  was  sought  against  Station  W30  and  Elgin, 
Inc.,  a  sponsor  of  a  program. 


A  Rl 


XXXXXXXXXX 
ARMY  CAMP  BANDS  WIN  LABOR  APPROVAL 


The  military  training  camp  bands  may  now  go  on  the  air  as 
the  result  of  an  agreement  reached  in  New  York  yesterday  by  James  C. 
Petrillo,  President  of  the  American  Federation  of  Musicians,  and 
representatives  of  the  three  major  broadcasting  chains. 


Mr.  Petrillo  explained  that  the  problem  arose  when  the 
Federation  was  asked  for  "a  blanket  waiver”  to  cover  any  program  of 
any  camp  band  at  any  time.  He  voiced  the  Union’s  fear  that  such  a 
procedure  might  have  dispensed  with  programs  requiring  the  services 
of  studio  musicians  to  a  large  extent.  Mr.  Petrillo  asserted  that 
the  Union  had  gladly  granted  individual  waivers.  _ _ _ 


xxxxxxxx 


QUALIFICATIONS  NECESSARY  FOR  FCC  LEGAL  PRACTITIONER 


Numerous  lawyers  who  would  like  to  practice  before  the 
Federal  Communications  Commission  are  informed: 

"The  Commission’s  Rules  of  Practice  and  Procedure  provide 
that  attorneys  at  law  admitted  to  practice  before  any  court  of  the 
United  States,  the  District  of  Columbia,  or  the  highest  court  of 
any  State  or  Territory,  upon  application  may  be  admitted  to  pract¬ 
ice  before  this  agency.  An  attorney  at  law  from  any  place  other 
than  the  District  of  Columbia  may,  in  the  discretion  of  the  Commis¬ 
sion  or  the  official  presiding  at  any  hearing,  be  admitted  for  a 
particular  case  in  which  he  may  be  employed.  The  rules  of  practice 
and  procedure  and  those  pertaining  to  the  various  classes  of  radio 
services  are  not  made  available  for  general  distribution.  Copies 
may  be  purchased  from  the  Superintendent  of Documents,  Government 
Printing  Office,  Washington,  D.  C. ,  at  nominal  cost.” 

XXXXXXXXX 
-  11  - 


12/17/40 


KG-EI  TO  FLASH  "TIME"  NEWS  TO  FAR  EAST 


Royal  Arch  Gunnison,  well  known  American  newsoaperman 
each  Friday  morning  at  4:30  o'clock,  San  Francisco  time,  will  read 
the  latest  issue  of  "Time"  to  listeners  in  faraway  lands.  When  it 
is  4:30  A.M.  in  San  Francisco,  it  is  8:30  P.M.  (the  same  day)  in 
Shanghai. 

KGEI,  General  Electric  operated,  is  the  only  American 
broadcasting  station  which  can  be  received  regularly  in  the  Orient. 
The  station  broadcasts  daily  to  Asia,  the  Antipodes  and  South 
Africa;  also  to  Mexico,  Central  and  South  America. 

XXXXXXXX 


GEN.  HARBORD  REMINISCES  ABOUT  THE  PHILIPPINES 

Gen.  James  G.  Harbord,  Chairman  of  the  Radio  Corporation 
of  America’s  Board,  contributed  an  article  to  the  first  issue  of 
the  magazine  "Philippines",  published  by  the  Philippine  Resident 
Commissioner  to  the  United  States.  General  Harbord  at  the  age  of 
36  went  to  the  Philippines  as  a  Captain  of  U.  S.  Cavalry.  He  was 
appointed  Chief  of  Constabulary  and  later  organized  the  More  Con¬ 
stabulary  in  Zamboango  and  Sulu.  He  saw  much  fighting  and  berame 
acquainted  with  a  young  lawyer  named  Manuel  L.  Quezon,  then,  running 
for  Governor  of  Tayobos  and  now  President  of  the  Philippine  Common¬ 
wealth.  General  Harbord  wrote  of  Quezon: 

"This  was  the  beginning  of  a  friendship  that  has  endured 
for  35  years.  Nothing  in  his  distinguished  career  since  then  has 
made  me  regret  that  I  did  everything  consistent  with  my  duty  as  a 
Constabulary  Officer  to  help  him. " 

XXXXXXXXXX 

MORE  PRAISE  FOR  TROUBLE  SHOOTER  McGRADY 
Frederic  William  Wile  wrote  in  the  Washington  Star  last 

week: 

"Throughout  national  defense  quarters  liveliest  satis¬ 
faction  is  expressed  over  appointment  of  Edward  F.  McGrady  as  Special 
Labor  Consultant  to  Secretary  of  War  Stimson.  The  former  Assistant 
Secretary  of  Labor,  now  in  charge  of  labor  relations  for  the  Radio 
Corporation  of  America,  will  serve  without  pay.  Probably  no  one  in 
the  labor  movement  enjoys  so  widely  the  confidence  alike  of  the 
rival  big  union  organizations,  rank  and  file  of  workers,  and  higher 
powers  in  the  Government.  "Ned"  McGrady  particularly  knows  his  way 
about  Capitol  Hill,  because  of  long  A.  F.  of  L.  legislative  service. 

"Author  of  the  Toledo  Peace  Plan  for  averting  industrial  strife, 
he  is  considered  to  be  peculiarly  the  right  man  in  the  right  place 
at  the  War  Department  at  this  time,  because  danger  of  labor  conflict 
like  the  recent  strike  in  the  aircraft  industry  is  regarded  perhaps 
the  most  menacing  bottleneck  in  the  whole  defense  picture.  Mr. 
McGrady  long  ago  won  his  spurs  in  the  field  to  which  Secretary 
Stimson  has  just  called  him,  having  served  in  a  similar  post  under 
World  War  Secretary  Newton  D.  Baker. " 

XXXXXXXXXX  -12- 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


j  _l-EeA*_  DEPARTMENT 

I  p  e  @  i  y  1 1  in' 


„  __  ‘  '  'o/n  isi'  i 

/  Si  I."*  ^  j 

I 


INDEX  TO  ISSUE  OF  DECEIVER  20 ,  1940 


FCG  Advises  Holding  Off  On  G-reat  Lakes  Radio . 

Discord  Creeps  Into  Music  War  Christmas  Peace  Efforts 

Proposed  Rules  For  Airport  Radio  Installation . 

Monopoly  Brief  Filing  Extended  To  Jan.  2.... . 

Broadcast  Engineering  Standards  In  Printed  Form . 

Aid  For  FM  In  Transition  Period . 

RMA  Midwinter  Chicago  Membership  Meeting . 

$850,000  WMCA  Sale  Authorized . 

Four  New  Stations  Authorized . . . 

Wartime  Increases  Canadian  Radio  Sales . 

Trade  Notes . 

tr  .  Angell  Analyzes  Radio ‘ s  Education  Role . 

RCA  Device  Calls  One  Car  Only . 


.  2 

.  4 

.  5 
.  5 

.  6 
.  6 

.  7 

.  8 
.8 

.  9 

10 

11 

12 


i 


No.  1291 


FCC  ADVISES  HOLDING-  OFF  ON  G-FEAT  LAKES  FtADIO 


In  submitting  its  report  on  the  special  study  of  radio 
requirements  for  safety  purposes  for  ships  navigating  the  G-reat 
Lakes  and  Inland  Waters,  the  Federal  Communications  Commission 
recommended  that  no  legislation  be  enacted  by  Congress  sending  the 
results  of  treaty  negotiations  with  the  Canadian  Government  now 
being  undertaken  by  the  State  Department. 

The  Communications  Commission  explained  that  Congress 
undoubtedly  expected  that  a  treaty  on  this  subject  would  be  negoti¬ 
ated  with  Canada.  The  reports  of  the  Congressional  Committees  on 
the  Bill  which  later  became  Public  97  (75th  Congress)  included  the 
observation  that  no  drastic  change  in  policy  affecting  radio  on 
ships  on  the  Great  Lakes  should  be  undertaken  without  consultation 
with  Canada  and  expressed  the  hope  and  expectation  that  the  State 
Department  would  reach  an  agreement  with  the  Canadian  Government 
for  the  utilization  of  radio  as  a  safety  factor  for  shipping  on 
the  Great  Lakes,  so  that  the  ships  of  both  countries  would  be  plac¬ 
ed  on  a  basis  of  equality  in  this  respect  and  would  receive  assist¬ 
ance  from  the  ships  of  each  other  as  on  the  high  seas. 

The  Committee  has  made  the  situation  known  to  the  State 
Department.  That  department  will  undertake  the  task  of  obtaining 
the  agreement  of  the  Canadian  Government  to  a  meeting  of  representa¬ 
tives  to  formulate  the  terms  of  a  treaty  which  can  be  presented  to 
the  respective  governments  for  ratification.  The  exact  date  for 
such  a  meeting  has  not  yet  been  decided  upon  but  will  be  determined 
in  the  near  future. 

As  to  the  characteristics  of  the  radio  system  to  be  em¬ 
ployed  on  the  Great  Lakes,  it  was  determined  that  reliable  and  con¬ 
sistent  radio-communication  for  safety  purposes  is  necessary  for  a 
distance  of  at  least  50  miles  over  water  as  contrasted  to  the  200- 
mile  range  required  by  statute  on  the  high  seas.  With  this  in  mind, 
it  is  further  concluded  that  either  radio telegraphy  or  radiotele¬ 
phony  may  be  selected  as  the  uniform  means  of  safety  communication, 
provided  that  the  appropriate  power  is  used  commensurate  with  the 
frequency  chosen. 

An  extensive  discussion  is  given  in  the  report  of  the 
technical  and  propagation  characteristics  of  frequencies  most  suit¬ 
able  for  a  radio  safety  service  in  this  area.  In  discussing  the 
particular  vessels  which  should  be  required  by  law  to  carry  radio 
apparatus,  the  Commission  believes  that  the  formula  now  used  in 
regard  to  vessels  entering  the  high  seas  is  suitable.  In  general, 
this  would  mean  that  all  cargo  vessels  over  1600  gross  tons  and  all 
passenger  vessels  carrying  more  than  twelve  passengers  would  be 
required  to  be  radio  equipped  when  sailing  the  Great  Lakes. 

-  2  - 


An  examination  of  the  evidence  reveals: 

That  the  present  United  States  laws  and  treaties  affect¬ 
ing  the  Great  Lakes  are  inadequate  to  provide  an  appropriate  and 
uniform  marine  radio  communication  system  for  safety  purposes. 

That  the  present  facilities  and  services  of  United  States 
ships  on  the  Great  Lakes  do  not  fully  satisfy  the  essential  ele¬ 
ments  of  a  marine  radio  communication  system  for  safety  purposes. 

That  the  number  of  persons  and  ships  and  the  amount  and 
value  of  property  transported  on  the  Lakes  justifies  the  mandatory 
installation  and  maintenance  on  board  ship  of  a  radio  communication 
system  for  safety  purposes. 

In  addition,  the  Commission  concludes: 

That  a  reliable  marine  safety  system  must  depend  for 
effectiveness  upon  ground  wave  transmissions. 

That  the  single  frequency  for  a  marine  safety  service 
must  be  selected  from  the  vicinity  of  the  following  frequencies 
listed  in  the  order  of  their  desirability  on  an  engineering  basis: 

(a)  500  kilocycles;  (b)  35,000  kilocycles; 

(c)  1,650  Kilocycles  (d)  2,182  kilocycles 

That  it  is  the  responsibility  of  the  Federal  Government 
to  establish  such  additional  coastal  stations  as  may  be  needed  to 
provide  adequate  coverage  on  the  safety  frequency  adopted. 

That  any  vessel  subject  to  the  requirements  unless  ex¬ 
empted  pursuant  to  related  provisions  of  law,  shall  keep  a  radio 
watch  for  safety  purposes. 

The  following  recommendations  were  made  with  respect  to 
the  Inland  Waters: 

That  appropriate  legislation,  as  amended,  (public  No.  97, 
75th  Congress)  with  the  major  modifications  itemized  below  be  en¬ 
acted  to  require  a  reliable  radio  installation  for  safety  purposes 
on  all  ships  navigating  exclusively  on  bays  and  sounds  of  the  United 
States  adjacent  to  the  open  sea: 

(1)  A  radio  installation  need  not  be  required  on  passen¬ 
ger  vessels  of  less  than  100  gross  tons; 

(2)  The  Commission  be  authorized  to  designate  the  normal 
day  and  night  communications  range  of  the  radio  transmitter  and 
receiver  to  satisfy  the  particular  requirements  in  the  area  of 
operation  of  the  vessel  concerned; 

(3)  A  complete  separate  emergency  radio  installation 
need  not  be  required: 

(4)  The  required  continuous  watch  may  be  maintained  in 
whole  or  in  part  by  either  a  qualified  operator  or  an  approved 
automatic  receiving  device  on  both  passenger  and  cargo  ships  while 
such  ships  are  being  navigated. 

XXXXXXXX 


3 


12/20/40 


I 


// 


DISCORD  CREEPS  INTO  MUSIC  WAR  CHRISTMAS  PEACE  EFFORTS 


Although  the  Department  of  Justice  is  believed  to  be  mak¬ 
ing  progress  towards  a  consent  decree  settlement  of  the  music  war, 
the  principals  continue  to  charge  and  countercharge  over  the  heads 
of  the  peace-makers.  Gene  Buck,  President  of  the  American  Society 
of  Composers,  declares  that  the  signing  of  a  consent  decree  would 
not  necessarily  settle  the  matter  of  what  fees  are  to  be  paid  for 
music  used  over  the  radio. 


Neville  Miller  said  that  even  in  the  event  of  a  decree, 
extensive  and  perhaps  prolonged  negotiations  would  be  necessary  "to 
arrange  the  acceptance  by  ASCAP  of  an  honest  and  reasonable  con¬ 
tract.  " 

A  late  press  bulletin  of  the  National  Association  of 
Broadcasters  cites  the  following  as  the  three  major  developments  of 
the  week: 

(1)  Disaffection  within  the  ASCAP  membership  has  reached 
the  breaking  point.  Already  there  is  talk  of  ASCAP  splitting 
up  into  three  or  more  camps. 

(2)  According  to  reliable  information,  the  Department 
of  Justice  is  determined  to  push  through  the  government’s 
monopoly  case  against  ASCAP,  either  by  a  consent  decree  or 
through  open  court  action. 

(3)  The  sensational  success  of  BMI  in  gathering  240,000 
titles  available  for  stations  in  1940,  and  in  winning  industry¬ 
wide  support  as  reflected  in  its  present  membership  level  of 
some  600  stations,  has  demonstrated  that  this  industry  has  the 
brains  and  the  united  determination  to  set  up  an  independent 
source  of  good  music  sufficient  to  free  radio,  forever,  from 
the  shackles  of  music  monopoly,  and  to  establish  the  use  of 
music  in  a  free,  competitive  open  market  in  accord  with  Ameri¬ 
can  traditions  of  business  and  fair  play.1  .  .  .  so-o-o-.’  The 
1-2-3  of  it  all  adds  up  to  BMI  -  a  three  word  title  that  has 
ASCAP  on  the  run  -  and  broadcasters  on  the  march’ 

A  prominent  broadcaster  told  this  writer  that  the  with¬ 
drawal  of  ASCAP  music  from  sustaining  programs  hadn’t  brought  forth 
a  single  complaint. 


"Listeners  apparently  haven't  noticed  any  difference",  he 
said.  "Of  course  we  can't  play  'The  Old  Rugged  Cross’  but  tunes 
of  that  sort  you  only  play  about  once  a  year  anyway. " 

In  the  meantime,  word  comes  tha.t  because  an  orchestra  in 
a  Binghamton,  N.Y.  night  club  played  copyrighted  music  without  pay¬ 
ing  for  the  privilege,  Judge  Frederick  H.  Bryant  awarded  damages  of 
$500  in  favor  of  the  American  Society  of  Composers,  Authors  and 
Publishers  in  federal  Court  in  Utica.  The  suit  against  Edith 
Kennedy,  operator  of  the  club,  was  uncontested,  and  the  award  was 
the  minimum  requested,  on  the  basis  of  $250  for  each  of  two 
alleged  violations. 


XXXXXXXXXX 


4  - 


12/20/40 


PROPOSED  RULES  FOR  AIRPORT  RADIO  INSTALLATION 


The  Federal  Communications  Commission  has  promulgated 
proposed  rules  governing  the  use  of  ultra  high  frequencies  in  the 
aviation  service  and  invited  comment  thereon  by  Tuesday,  January  31. 

As  these  proposals  include  the  stabilization  of  the  avi¬ 
ation  radio  system  on  am  amplitude  modulation  basis,  the  Commission 
particularly  desires  comment  as  to  the  wisdom  of  this  step,  together 
with  views  regarding  the  practicability  of  providing  for  FM  (fre¬ 
quency  modulation)  in  the  aviation  service. 

Under  the  existing  miles  it  was  contemplated  that  airport 
control  stations  would  be  provided  with  ultra  high  frequencies 
beginning  January  1.  Protests  have  been  received  with  respect  to 
this  rule  based  on  the  grounds  that  at  many  locations  it  will  be 
unnecessary  for  some  time  to  come  for  the  airport  control  station 
to  install  ultra  high  frequencies,  due  to  the  absence  of  aircraft 
equipped  for  their  reception.  It  is  also  pointed  out  that  the 
demands  upon  manufacturers  for  national  defense  have  made  it  impos¬ 
sible  in  many  cases  to  obtain  equipment. 

On  November  15  Commission  representatives  met  in  informal 
discussion  with  representatives  of  other  Government  departments, 
the  airlines,  the  private  fliers,  and  the  airports.  The  proposed 
rules  which  provide  for  a  progressive  schedule  of  installation  are 
the  result. 

It  is  interesting  to  note  that  those  who  have  witnessed 
the  demonstrations  of  ultra  high  frequency  air-ground  communication 
are  unanimous  in  the  belief  that  these  frequencies  offer  a  solution 
to  many  of  the  difficult  problems  of  traffic  control  in  the  vicinity 
of  airports. 


y 


xxxxxxxx 

MONOPOLY  BRIEF  FILING  EXTENDED  TO  JAN.  2 


The  time  for  the  filing  of  supplementary  briefs  in  the 
so-called  Monopoly  hearings,  on  whether  or  not  regulations  should 
be  enacted  governing  chain  broadcasting,  has  been  extended  to 
January  2nd.  This  is  just  a  day  ahead  of  the  convening  of  the  new 
Congress  to  which  this  report  is  to  be  made.  Already  the  Federal 
Communications  Commission  has  been  severely  criticized  for  its 
tardiness  in  submitting  the  Monopoly  Report  and  this  being  true, 
it  is  assumed  the  Commission  will  lose  no  time  submitting  its  con¬ 
clusions  on  the  subject.  One  contention  is  that  the  Commission 
has  no  commercial  jurisdiction  over  the  chains,  and  if  this  opinion 
is  upheld,  it  would  have  no  power  to  act  in  the  matter. 


/ 


xxxxxxxxx 


-  5  - 


12/20/40 


BROADCAST  ENGINEERING  STANDARDS  IN  PRINTED  FORM 


For  the  first  time,  the  Federal  Communications  Commis¬ 
sion'  s  "Standards  of  Good  Engineering  Practice  Concerning  Standard 
Broadcast  Stations"  are  available  in  printed  form.  The  Commission 
is  unable  to  make  free  distribution  to  other  than  broadcast  licen-  . 
sees,  but  copies  may  be  purchased  from  the  Superintendent  of  Docu¬ 
ments,  Government  Printing  Office,  Washington,  D.  C. ,  at  30  cents 
each. 

The  standards  interpret  and  elaborate  on  the  Rules  and 
Regulations,  which  form  the  basis  of  good  engineering  practice  as 
applied  to  broadcasting  on  the  550  to  1600  kilocycle  band.  First 
made  effective  on  August  1,  1939,  these  principles  have  been  revis¬ 
ed  to  July  20,  1940,  in  the  printed  edition. 

Such  compilation  is  published  for  the  convenience  of  those 
interested  in  standard  broadcast  station  operation.  Familiarity 
with  the  standards  is  essential  in  the  construction  and  operation  of 
standard  broadcast  stations,  to  meet  the  requirements  of  technical 
operation  in  the  public  interest  along  lines  not  specifically 
enunciated  in  the  regulations. 

These  standards  represent  the  consensus  of  opinion  of  the 
broadcast  industry  as  expressed  in  conferences  with  radio  engineers 
and  manufacturers,  augmented  by  extensive  field  surveys  conducted  by 
the  Commission's  field  technicians. 

It  is  not  expected  that  material  deviation  will  be  made 
from  fundamental  principles,  since  the  standards  are  sufficiently 
flexible  to  accommodate  new  developments  and  other  progres 

XXXXXXXXXX 


AID  FOR  FM  IN  TRANSITION  PERIOD 


To  assist  FM  during  its  transition  from  experimental  to 
a  commercially  recognized  broadcast  service,  the  Federal  Communica¬ 
tions  Commission  has  announced  that  it  will  authorized,  on  appropri¬ 
ate  request,  a  60-day  extension  of  experimental  licenses  which  are 
due  to  expire  January  1. 

Under  previous  arrangement,  all  frequency  modulation 
experimental  station  licenses  were  to  automatically  expire  on  that 
date.  It  is  indicated,  however,  that  more  time  is  needed  in  which 
to  switch  over  from  the  experimental  to  the  regular  program  phase 
in  this  high  frequency  service. 

At  the  same  time,  the  Commission  indicated  that  it  will 
deny  requests  of  permittee's  for  temporary  authority  to  broadcast 
commercially  unless  it  is  shown  that  the  permittee  has  complied 
substantially  with  the  terms  of  his  permit.  Special  temporary 


6 


12/20/40 


! 


authority  will,  however,  be  granted  for  bona  fide  technical  experi¬ 
mental  work  in  connection  with  construction  of  FM  stations. 

Up  to  the  present  time,  the  Commission  has  granted  a 
total  of  25  commercial  FM  licenses,  and  there  are  33  experimental 
FM  licenses  outstanding. 

XXXXXXXXXX 


RMA  MIDWINTER  CHICAGO  MEMBERSHIP  MEETING 


There  will  be  a  Mget  together”  rally  of  the  entire  member¬ 
ship  of  the  Radio  Manufacturers’  Association  in  Chicago  on  Wednesday, 
January  15,  for  a  general  survey  of  industry  problems  and  projects 
of  the  new  year.  There  will  be  a  luncheon,  January  15,  at  the 
Stevens  Hotel,  and  eastern,  as  well  as  western,  members  are  being 
invited  to  attend.  A  special  program  is  being  arranged,  and 
addresses  will  be  made  by  James  S.  Knowlson,  President  of  RMA, 
Chairman  Baker  of  the  National  Television  System  Committee,  who 
will  detail  the  status  of  television  standardization  nrior  to  the 
NTSC  conference  with  the  FCC  on  January  27,  and  others. 

A  number  of  RMA  committees  and  also  its  Board  of  Directors 
and  Executive  Committee  will  hold  meetings  on  January  15  at  the 
Stevens.  Among  group  meetings  already  planned  for  the  Chicago 
sessions  is  a  meeting  of  the  Export  Committee,  of  which  Walter  A. 
Coogan  is  Chairman.  Topics  of  special  interest  are  being  arranged 
for  this  meeting,  which  will  be  attended  by  John  H.  Payne,  Chief 
of  the  Electrical  Division,  Bureau  of  Foreign  and  Domestic  Commerce, 
Washington. 

There  will  be  a  meeting  of  the  special  RMA  Committee  on 
Advertising,  of  which  John  S.  Garceau  of  Fort  Wayne,  Indiana,  is 
Chairman,  to  continue  its  review  of  industry  advertising  and  develop¬ 
ment  of  desirable  advertising  standards  and  practices. 


Meetings  also  are  being  arranged  of  parts,  accessories 
and  other  committees,  including  the  special  Parts  Warranty  Committee, 
of  which  Ben  Abrams  is  Chairman,  to  consider  maintenance  by  set 
manufacturers  of  stocks  of  replacement  parts. 


XXXXXXXXX 

Leonard  Lyons  in  his  column  ’’The  New  Yorker”  addressed  the 
following  remarks  to  Broadcast  Music,  Inc.: 


”BMI:  Joe  Meyers,  who  wrote,  ’California,  Here  I  Come’, 

feels  confident  that  ASCAP  will  win  and  that  your  songs  will  not 
suffice  for  the  listening  public.  'After  January  1',  said  Meyers, 
’the  radio  audience  will  suffer  from  public  domain  poisoning.1” 


XXXXXXXXXXXX 


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12/20/40 


$850,000  MCA  SALE  AUTHORIZED 


The  Federal  Communications  Commission  has  formally  granted 
consent  to  transfer  control  of  the  Knickerbocker  Broadcasting  Com¬ 
pany,  of  New  York,  licensee  of  Station  MCA,  from  Donald  J.  Flamm, 
well  known  New  York  broadcaster,  to  Edward  J.  Noble,  former  Assist¬ 
ant  Secretary  of  Commerce,  for  the  sum  of  $850,000.  The  figure  had 
previously  been  reported  as  $1,000,000. 

No  announcement  of  the  sale  has  as  yet  been  made  by  either 
Mr.  Flamm,  or  the  new  owner,  Mr.  Noble,  but  it  has  been  reported 
that  the  latter,  who  ran  for  U.  S.  Senator  in  Connecticut  on  the 
Republican  ticket  and  resigned  his  position  at  the  Commerce  Depart¬ 
ment  to  work  for  Wendell  Willkie,  will  continue  these  interests. 

Mr.  Noble  is  a  man  of  large  financial  interests  and  Chairman  of 
the  "Life  Savers  Candy  Corporation". 


Mr.  Flamm,  who  has  built  up  WMCA  to  its  present  import¬ 
ance  has  given  no  indication  of  whether  or  not  he  will  continue  in 
the  broadcasting  station.  WMCA  has  Just  erected  a  new  transmitter 
in  the  Jersey  Meadows,  said  to  be  one  of  the  most  up-to-date  broad¬ 
casting  stations  in  the  country. 


xxxxxxxxxx 

FOUR  NEW  STATIONS  AUTHORIZED 


Applications  have  been  granted  by  the  Federal  Communica¬ 
tions  Commission  for  the  erection  of  four  new  broadcasting  stations: 

Albert  Joseph  Meyer,  Powell,  Wyoming,  to  operate  on  1200  kc 
with  250  watts  night  and  day,  unlimited  time;  C.  T.  Sherer  Co.,  Inc. 
Worcester,  Mass.,  to  operate  on  1200  kc. ,  250  watts,  unlimited  time, 
with  three  100  watt  amplifier  stations  to  be  located  near  Auburn, 
Whitinsville ,  and  Marlborough,  Mass.;  R.  G-.  LeTourneau,  Toccoa,  Ga.  , 
to  operate  on  1420  kc. ,  250  watts,  unlimited  time;  Oscar  C.  Hirsch, 
Cairo,  Ill.,  to  operate  on  1500  kc. ,  250  watts,  unlimited  time. 

An  application  for  a  new  250  watt  station  by  the  Worcester 
Broadcasting  Company,  Worcester,  Mass. ,  has  been  designated  for  a 
hearing. 

Stations  granted  power  increases  during  the  past  week  are: 


WKBW,  Buffalo  Broadcasting  Corp. ,  Buffalo,  N.Y. ,  from 
5  KW  to  50  KW;  KG-NC,  Plains  Radio  Broadcasting  Co.,  Amarillo,  Tex., 
from  1  KW  night,  KW  LS  to  1  KW  night,  5  KW  da.y;  WELI,  City 
Broadcasting  Corp.,  New  Haven,  Conn.,  from  250  watts  to  500  watts 
and  day  power  from  500  watts  Lb  to  1  KW;  W1XER,  Yankee  Network, Inc. , 
Boston,  Mass.,  to  change  frequency  from  42,340  to  43,900  kilocycles, 
increase  power  from  500  watts  to  1  KW,  emission  from  A3  to  special 
for  FM,  and  change  type  of  transmitter. 


-  8  - 


Among  the  stations  applying  for  an  increase  are: 

Designated  for  hearing:  WAGA,  Liberty  Broadcasting  Corp. , 
Atlanta,  Ga. ,  to  increase  power  from  1  KW  day,  500  watts  night  to 
1  KW  night,  5  KW  LS,  change  frequency  from  1450  kc.  to  590  kc.  ; 

WRDW,  Augusta  Broadcasting  Co.,  Augusta,  Ga. ,  increase  power  from 
250  watts  unlimited  to  500  watts  night,  1  KW  LS  (contingent  on  WAGA 
changing  to  590  kc),  change  frequency  from  1500  kc.  to  1450  kc. 

WESX,  North  Shore  Broadcasting  Co.,  Salem,  Mass.,  CP  to  make 
changes  in  equipment  and  increase  power  from  100  watts  to  250  watts 
(1200  kc.);  WHOM,  New  Jersey  Broadcasting  Corp.,  Jersey  City,  N.J., 
C.P.  to  install  new  transmitter  and  directional  antenna  for  day  and 
night  use,  increase  in  power  from  500  watts  night,  1  KW  day  to 
10  KW  da.y  and  night,  change  frequency  from  1450  to  1560  kc.  and 
move  transmitter  from  Jersey  City  to  New  Town  Creek,  Long  Island 
City,  N.Y. ;  WMAS,  WMAS,  Inc.,  Springfield,  Mass.,  C.P.  to  change 
frequency  from  1420  to  830  kc. ,  install  new  transmitter,  install 
directional  antenna  for  day  and.  night  use,  move  transmitter  from 
Springfield  to  West  Springfield,  Mass. ,  and  increase  power  from 
250  watts  to  1  KW  night,  5  KW  da.y;  WWSW,  Walker  &  Downing  Radio 
Corp.,  Pittsburgh,  Penna. ,  C.P.  to  install  new  transmitter,  dir¬ 
ectional  antenna  da.y  and  night  use,  change  frequency  from  1500  to 
940  kc.  ,  increase  power  from  250  watts  to  1  KW;  5  KW  day;  move 
transmitter  from  Pittsburgh,  Pa.  ,  to  l|r  miles  north  of  McKees 
Rocks  Boro,  Stowe  Township,  Pa. ,  1500  kc. ;  WSIX,  W3IX,  Inc. ,  Nash¬ 
ville,  Tenn. ,  C.P.  to  install  new  transmitter,  directional  antenna, 
for  night  use,  change  in  frequency  from  1210  to  950  kc. ,  increase 
power  from  250  watts  to  1  KW,  5  KW  day;  KALB,  Alexandria  Broadcast¬ 
ing  Co.,  Inc.,  Alexandria,  La.,  C.P.  to  change  frequency  from  1210 
to  580  kc. ,  increase  power  from  250  watts  to  1  KW,  install  new 
transmitter.  — 

xxxxxxxxx 

WARTIME  INCREASES  CANADIAN  RADIO  SALES 

Radio  manufacturers  of  Canada  reoorted  sales  of  28,923 
units  in  August,  1940,  the  latest  month  to  be  reported,  as  compared 
with  27,706  in  August,  1939,  a  wartime  increase  of  4.4  percent, 
according  to  the  U.  S.  Bureau  of  foreign  and  Domestic  Commerce,  bas¬ 
ed  on  figures  of  the  Radio  Manufacturers’  Association  of  Canada. 
Total  units  sold  for  the  first  8  months  of  1940  were  182,219,  com¬ 
pared  with  130,726  units  for  the  corresponding  period  of  1939,  an 
increase  of  39.4  percent.  Inventories  at  the  end  of  August  were 
63  percent  greater  than  those  at  the  end  of  August  1939,  with  130,- 
630  and  79,681  units,  respectively,  in  stock. 

Of  the  total  of  28,923  sets  sold  in  August,  1940,  18,358 
were  electric;  8,490  battery;  842  portable;  421  phonograph  combina¬ 
tions,  and  812  automobile.  Short-wave  electric  sets  made  up  64 
percent  of  the  electric  units  sold. 

Classified  by  wave  bands,  60  percent  of  the  total  electric 
sets  sold  in  the  month  of  August  include  short  wave,  26  percent 
AC/DC,  and  14  percent  for  standard  broadcast  frequencies.  Battery 
sets,  according  to  this  classification,  showred  that  77  percent  of 
purchases  during  August  were  standard  broadcast  frequencies  and 
23  percent  short  wave. 

-  9  - 


X  X  X  X  X  X  X  X 


12/20/40 


:  TRADE  NOTES 


The  Bureau  of  Foreign  and  Domestic  Commerce  has  issued 
radio  reports  on  the  Canary  Islands  and  Honduras. 


The  Federal  Trade  Commission  has  ordered  Samuel  H.  Foolish . 
trading  as  Arlington  Sales  Co.,  210  West  Eighth  St.,  Kansas  City, 

Mo.,  to  cease  and  desist  from  using  lottery  methods  in  the  sale  of 
radios  and  other  merchandise. 


A  new  mercury- vapor  rectifier,  bearing  the  type  number 
GL-866A/866,  has  been  added  to  the  General  Electric  Comoany  tube 
line  for  amateur  and  commercial  service. 


A  mobile  station  of  the  Radiomarine  Corporation,  W10XLZ, 
aboard  the  Towboat  ’’Chicago  Bridge”  has  been  granted  authority  to 
communicate  as  an  experimental  ship  station  to  investigate  the  pos¬ 
sibility  of  establishing  a  coastal  harbor  service  on  the  Mississippi 
River. 


Max  Abrams,  Treasurer  of  the  Emerson  Radio  and  Phonograph 
Company  of  New  York,  has  announced  that  the  annual  employee  bonus 
would  be  divided  this  year  in  the  amount  of  $50,000.  Every  office 
and  factory  worker  will  share  in  the  distribution. 


Ser\ 


service  Emblems  are  being  awarded  to  three  veteran  R.  C.A. 
Communications'  employees  this  month.  Alanson  W.  Aird,  Engineer-in- 
Charge  of  the  New  Brunswick,  N. J.  transmitter  station;  Abraham 
Deutsch,  Manager  of  SK  Office;  and  Benjamin  Lee,  Main  Office  Porter, 
will  each  receive  the  golden  rhomb  which  marks  the  completion  of 
twenty  years'  employment  with  RCAC. 


One  of  Station  WBZ's  two  new  vertical  antennas,  which 
tower  500  feet  high,  turns  back  radio  waves  headed  oceanward,  accord¬ 
ing  to  Westinghouse ,  and  makes  them  join  one-way  radio  traffic  in¬ 
land. 

Applications  for  the  following  attorneys  to  practice 
before  the  Federal  Communications  Commission  have  been  approved: 

Roy  Holfeinz,  Houston,  Tex.;  Francis  W.  Rausch,  West 
Allis,  Wis.  ;  Monroe  Goldwater,  New  York,  N.  Y. ;  Samuel  R.  Rosenbaum, 
Philadelphia,  Pa.;  Milton  Small,  New  York,  N.Y. ;  Jerome  C.  Strumpf, 
New  York,  N.  Y. 


With  the  addition  of  five  new  stations  -  WNOE,  New  Orleans, 
WMOB,  Mobile,  Ala.,  WHBB,  Selma,  Ala.,  WDEF,  Chattanooga,  Tenn. ,  and 
WBIR,  Knoxville,  Tenn.,  and  the  full-time  affiliation  of  WKW,  St. 
Louis  on  New  Year's  Day,  the  Mutual  Broadcasting  System  estimates 
that  more  than  1,500,000  listeners  in  six  cities  will  hear  complete 
Mutual  network  service  for  the  first  time  beginning  January  1,  1941. 

You're  wrong?  It  isn't  Commissioner  Tunis  Algiers  Morocco 
Craven.  The  correct  name  is  Tunis  Augustus  Macdonough  Craven. 

-  10  - 


XXXXXXXXX 


12/20/40 


ANGELL  ANALYZES  RADIO'S  EDUCATION  ROLE 


1 

To  enable  listeners  to  become  acquainted  with  NBC's  poli¬ 
cies  and  procedures  in  connection  with  its  Public  Service  programming 
it  offers  a  booklet  entitled  "NBC  Interprets  Public  Service  in  Radio 
Broadcasting",  covering  present  activities  and  plans  for  future 
development  of  the  Public  Service  Program  Division  of  NBC.  The 
report  summarizes  policies  and  program  plans  which  have  been  recom¬ 
mended  by  Dr.  James  Rowland  Angell,  NBC  Educational  Counselor  and 
officially  approved  by  the  management  of  NBC. 


In  1937,  NBC  approached  Dr.  Angell,  who  ms  to  retire  that 
year  as  President  of  Yale  University,  with  the  suggestion  that  he 
become  its  Educational  Counselor.  The  Management  of  the  Company 
desired  Dr.  Angell  to  study  the  relationship  between  radio  and  edu¬ 
cation  in  an  effort  to  work  out  a  satisfactory  solution  to  this 
problem.  Dr.  Angell  accepted  NBC ' s  offer  and  spent  the  greater 
portion  of  his  first  year  making  a  thorough  study  of  foreign  and 
American  systems  of  broadcasting,  with  particular  reference  to  the 
activity  of  various  systems  in  educational  broadcasting. 

As  a  result  of  this  study,  Dr.  Angell  became  convinced 
that  to  find  a  solution  to  the  problem  of  radio  and  education  in 
the  U.5.  the  following  four  elements  must  always  be  considered: 

(1)  Networks  can  only  do  a  shot-gun  job  rather  than  a 
single  rifle  shot  job.  With  a  few  exceptions  they  should  not  try 
to  do  direct  teaching.  Their  programs  should  be  supplements  to  the 
teacher  and  the  textbook,  bringing  to  the  classroom  material  which 
otherwise  could  not  be  provided.  This  is  because  of  the  four  time 
belt  stagger  across  the  country,  because  of  the  forty-eight  differ¬ 
ent  State  systems  of  education,  the  dozens  of  systems  of  education 
within  each  state. 

(2)  The  local  commercial  stations  can  do  a  more  direct 
educational  job  than  the  networks  but  still  they  cannot  do  a  wholly 
direct  teaching  job. 

(3)  Electrical  recordings  of  network  programs  already 
broadcast  and  programs  especially  recorded  but  not  broadcast  should 
be  made  available  to  schools,  local  stations  and  all  others  inter¬ 
ested.  This  would  provide  material  for  use  by  all  concerned  which 
might  not  be  secured  in  any  other  way. 

(4)  The  ultra-high  frequency  wave  lengths  which  the 
Federal  Government  has  allocated  to  educational  institutions  is  one 
of  the  most  important  elements  in  the  entire  picture.  The  Cleveland 
School  System  has  been  experimenting  with  this  technique  for  several 
years;  New  York  City,  Los  Angeles,  and  other  school  systems  are 
under  way  with  their  experiments.  The  local  school  systems  thus 
provided  with  their  own  broadcasting  and  receiving  equipment  can  do 
direct  teaching  and  can  make  use  of  network  programs  -  of  programs 
produced  by  the  local  commercial  station  -  and  of  electrical 
recordings  provided  by  the  radio  industry. 

Dr.  Angell  suggested  that  NBC  re-define  its  terms  and 
that  the  word  "education"  be  limited  strictly  to  those  programs 
which  are  a  supplement  to  the  teacher  and  the  textbook. 


11 


12/20/40 


Having  limited  our  use  of  the  term  "education",  the  prob¬ 
lem  was  then  to  provide  a  new  term  for  the  programs  which  had  been 
included  formerly  in  the  educational  category.  Dr.  Angell  and  the 
Management  worked  out  the  following  definition  of  tyres  of  programs 
broadcast  on  NBC's  Red  and  Blue  Networks: 


Percentage  of  Total 
Network  Broadcast 
Hours 


1.  Commercial  Programs .  30 $ 

2.  Sustaining  Programs .  70$ 

a.  Straight  Entertainment  .  15$ 

b.  Public  Service .  55$ 


(Women's,  Children's,  News,  Special 
Events,  Religion,  Politics,  Cul¬ 
tural  Drama,  Serious  Music,  Educa¬ 
tion,  International  Short  Wave, etc.) 


Dr.  Angell  concludes  that  the  public  wants  to  be  educated 
but  it  wants  its  education  "sugar-coated".  We  believe  it  is  our 
responsibility  to  provide  public  service  programs  of  the  highest 
quality  and  with  a  satisfactory  degree  of  entertainment  in  them. 


RCA  DEVICE  CALLS  ONE  CAR  ONLY 


A  new  control  device  for  mobile  radio  systems,  by  means 
of  which  any  one  car  or  group  of  cars  can  be  called  without  dis¬ 
turbing  the  other  receivers  in  the  same  system,  has  been  developed 
by  the  Emergency  Communication  Section  of  the  RCA  Manufacturing 
Company  and  was  shown  at  the  Seventh  Annual  Conference  of  the 
Associated  Police  Communication  Officers,  at  Orlando,  Fla.  Known 
as  the  RCA  Selective  Calling  Equipment,  it  may  be  applied  to  any 
new  or  existing  radio  system. 


Heretofore,  all  workmen  in  the  field  have  found  it  neces¬ 
sary  to  stop  work  and  return  to  their  cars  during  radio  transmis¬ 
sion  to  ascertain  for  whom  the  message  was  intended.  Now  it  is 
possible  to  call  the  one  receiver  or  selected  group  of  receivers 
desired.  All  other  receivers  remain  inoperative  while  the  crews 
of  those  cars  remain  on  active  duty.  It  is  ideally  suited  for  use 
by  utility  companies  with  fleets  of  radio  equipped  service  and 
maintenance  cars. 


XXXXXXXX 


12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  DECEMBER  24,  1940 


Amy  Can’t  Even  Toot  Horn  On  Radio,  Solon  Protests . 2 

All  Set  For  Television  Reports  Latter  Part  Of  January . 4 

FCC  Nabs  Racing  Tip  Crooner . 5 

Colleges  Offer  Free  Communications  Defense  Course . 6 

New  Washington  Station  Victor . 7 

New  York  Policemen  Test  Individual  2- Way  Sets . ....7 

Caldwell  Facetiously  Fetes  FCC  Bar  Group . 8 

Supreme  Court  To  Review  2nd  ASCAP  Case . 9 

Hickok  Joins  National  Defense  Council . 11 

Taxes  Foreshadow  1940  Radio  Record . 11 

New  Long  Lines  Head  Of  A.  T.  &  T . 12 

Compensation  For  Drafted  Or  Enlisted  WOR  Employees . 12 


No.  1292 


December  24,  1940 


ARMY  CAN'T  EVEN  TOOT  HORN  ON  RADIO  SOLON  PROTESTS 


Declaring  that  first  the  Navy  and  then  the  Army  was  told 
where  to  head  in  by  organized  labor,  Representative  Clare  E.  Hoffman, 
Republican,  of  Michigan,  took  the  floor  for  an  attack  on  these 
groups.  Mr.  Hoffman,  who  is  a  member  of  the  House  Labor  Committee 
said,  in  part: 

"Some  will  recall  that,  in  the  late  summer  of  1939,  more 
than  a  year  ago,  a  C.I.O.  affiliate  in  Detroit,  according  to  the 
then  Acting  Secretary  of  the  Navy,  held  up  preparations  for  national 
defense  and  told  the  Navy  where  it  should  head  in.  That  union  de¬ 
fied  the  Navy  to  ’come  and  get1  its  own  materials.  The  Navy  took 
it  lying  down  for  41  days. 

"It  is  the  Army's  turn  now.  One  Petrillo,  President  of 
the  A.  F.  of  L.  American  Federation  of  Musicians,  denied  the  Mutual 
Broadcasting  System  the  right  to  transmit  music  played  by  the  One 
Hundred  and  Fourth  Engineers  Band  at  Fort  Dix. 

"A  series  of  oatriotic  concerts  at  Fort  Dix  had  been  plan¬ 
ned  to  promote  interest  in  the  national  defense.  But,  under  the 
orders  as  issued  by  Petrillo,  citizens  will  not  have  the  privilege 
of  sitting  by  their  firesides  and  listening  to  the  Army  bands  play 
the  Star-Spangled  Banner,  America,  or  any  other  patriotic  selec¬ 
tions,  as  transmitted  over  the  radio. 

"According  to  the  press: 

"'Petrillo  announced  that  radio  listeners  would  have  to 
get  along  without  broadcasts  by  Army  bands  from  Army  posts  until  he 
had  an  opportunity  to  go  to  Washington,  D.  C-,  and  make  a  deal  with 
the  War  Department  on  the  extent  to  which  such  broadcasts  could  be 
given. ' 

"'This  is  a  good  cause  and  we're  all  for  it',  Petrillo 
declared,  'but  if  we  allowed  radio  stations  to  put  music  on  the  air 
from  Army  camps  whenever  they  wanted  to  they  could  soon  dispense 
with  our  men.  We  are  in  favor  of  their  going  on  the  air  with  pro¬ 
grams  telling  about  life  in  the  Army,  but  we  want  protection  against 
the  loss  of  jobs  for  professional  musicians. 

"'I  can't  let  them  run  wild.  There's  no  telling  where 
this  thing  might  end.  It's  all  right  with  us  if  they  put  on  a 
couple  of  Army  bands,  but  I  want  to  know  how  often  they  plan  to  do 
this  thing. ' 

-  2  - 


12/24/40 


"Many  people  have  assumed  that  Army  bands  could  play  when 
and  where  the  Army  desired.  Some  of  our  citizens  are  so  naive  as 
to  have  believed  that  broadcasting  was  under  the  jurisdiction  of 
the  Federal  Communications  Commission.  Now  we  learn  that  the  ‘big 
boss'  is,  or  at  least  so  he  thinks,  Mr.  Petrillo,  who  was  recently 
given  great  praise  in  a  nationally  circulated  monthly  magazine. 

"It  might  be  well  for  the  Government  to  adopt  the  langu¬ 
age  of  Mr.  Petrillo  with  reference  to  the  activities  of  some  of 
these  gentlemen.  He  said: 

I  can't  let  them  run  wild.  There  is  no  telling  where 
this  thing  might  end. ' 

"How  would  it  be  for  the  Army  and  the  Navy  to  get  together 
with  the  Federal  Communications  Commission  and  tell  Mr.  Petrillo  to 
toot  his  own  horn,  at  least  Insofar  as  the  Army  and  Navy  bands  were 
concerned? 


"Suppose,  as  in  the  olden  days,  the  Army  depended  on  bugle 
calls;  that  a  war  was  on  and  that  a  charge  or  a  retreat  was  to  be 
ordered,  the  orders  transmitted  through  the  bugle.  Would  the  Army 
officer  be  able  to  give  the  order  without  first  seeing  Mr.  Petrillo? 
And  what  a  mess  we  would  be  in,  if  Mr.  Petrillo  or  his  business 
agent  did  not  happen  to  be  on  the  field  of  battle.  There  the  Army 
would  be,  all  tied  up,  the  commanding  officer  unable  to  tell  it 
whether  to  go  forward  or  backward  until  he  had  heard  from  Mr. 
Petrillo. 


"Captain  Cook,  public- relations  officer  of  the  Forty- 
fourth  Division,  had  asked  permission  to  play  a  brief  selection  at 
the  opening  of  the  program,  a  full  number  at  the  middle,  and  a  mili¬ 
tary  theme  at  the  end.  Petrillo  would  not  permit  that.  So  the 
captain  said  that  bugle  calls  would  replace  the  band  music.  He 
added  that  Petrillo  had  granted  a  request  for  1  minute  of  incidental 
music  by  a  regimental  band  on  another  program  last  Thursday. 

"There  is  one  thing  that  the  unions  seem  to  have  overlook¬ 
ed.  A  man  can  still  be  conscripted  without  joining  and  paying  an 
initiation  fee. " 

According  to  a  newspaper  dispatch  from  Chicago  the  Anti- 
Trust  Division  of  the  Justice  Division  is  making  a  quiet  investiga¬ 
tion  of  Mr.  Petrillo. 

"This  matter  is  not  calculated  to  make  much  difference 
to  Petrillo,  the  world's  highest-paid  labor  leader.  (His  $46,000 
a  year  tops  the  combined  salaries  of  John  L.  Lewis  and  William 
Green, ) "  the  dispatch  said. 

The  interest  of  Thurman  Arnold,  head  of  the  Anti-Trust 
Division,  in  Mr.  Petrillo,  it  was  learned,  stemmed  from  the  current 
conflict  between  the  broadcasting  chains  and  the  American  Society 
of  Composers,  Authors  and  Publishers. 


-  .3 


12/24/40 


Officially,  the  musicians  union  has  taken  a  hands-off 
attitude  in  the  radio-music  writers  battle.  Nevertheless,  the 
traditional  position  of  Jimmy  Petrillo  as  the  focal  point  of  all 
conflicts  over  music  brought  the  Justice  Department  in  for  a  look 
at  the  unions'  influence. 


Mr.  Petrillo  said  the  radio  networks  had  promised  that  no 
studio  musician  would  suffer  as  a  result  of  the  Army  concerts. 


"The  federation  never  denied  the  Army  the  right  to  do 
their  stuff,  but  these  Fort  Dix  people  wanted  a  blanket  waiver  for 
all  broadcasts  and  then  on  Friday  came  24  requests,  from  the  net¬ 
works,  to  use  Army  bands,  and  I  said,  'Gee.1  Let's  keep  this  thing 
in  status  quo  till  we  find  out  where  we're  at.  1  So  I  got  in  touch 
with  people.  We’re  patriotic  enough  to  know  these  things  should  go 
on.  " 


XXXXXXXXX 


ALL  SET  FOR  TELEVISION  REPORTS  LATTER  PART  OF  JANUARY 


Television  will  again  get  the  spotlight  the  last  week  in 
January  when  reports  of  the  National  Television  Systems  Committee 
to  the  Federal  Communications  Commission  are  due.  They  will  be 
filed  just  prior  to  Monday,  January  27th,  at  which  a  general  con¬ 
ference  is  to  be  held  on  television  in  Washington.  Following  the 
conference  it  is  expected  the  red  light  which  was  flashed  against 
the  television  industry  may  be  switched  to  green  or  amber  at  least. 

Nine  panels,  or  committees  of  the  industry  will  report  and 
even  at  this  late  date  there  may  be  considerable  difference  of 
opinion. 


Prior  to  the  Washington  conference  the  Communications 
Commission  Friday,  January  24,  will  make  an  Inspection  trip  to  New 
York  and  several  other  cities  so  as  to  have  up  to  the  minute  informa 
tion  as  to  what  the  television  laboratories  have  develooed  and  to 
see  any  actual  televising  that  is  being  done  at  that  time. 


XXXXXXXXX 


A  blackout  resulting  from  trouble  at  an  auxiliary  station 
on  the  Susquehanna  at  Safe  Harbor,  Pa. ,  cut  off  power  from  the  radio 
stations  in  Washington  and  Baltimore  and  everything  else  using 
electricity  last  Saturday.  An  investigation  immediately  followed 
to  see  if  sabotage  had  entered  into  it. 

XXXXXXXXXX 


4 


12/24/40 


FCC  NABS  RACING-  TIP  CROONER 


A  month's  search  by  the  Federal  Communications  Commission 
for  unlicensed  radio  equipment  which  broadcast  "sure  tips"  to  favor¬ 
ed  bettors  while  horse  races  were  still  being  run  was  climaxed  last 
night  by  the  arrest  of  two  men  and  the  seizure  of  illegal  apparatus 
at  the  Charles  Town,  W.  Va.  ,  racetrack. 

In  early  December  Commission  field  men  discovered  that 
two  portable  transmitters  were  surreptitiously  being  put  to  such  use. 
One  transmitter  concealed  under  the  coat  was  employed  by  one  of  the 
men  in  the  grandstand  to  communicate  progress  of  the  race  to  an 
accomplice  in  a  rented  tourist  cabin  near  the  track.  The  latter 
utilized  the  second  set  to  flash  the  expected  result  to  conspira¬ 
tors  listening  in  at  outside  receiving  stations.  Under  this  system, 
some  persons  were  able  to  make  advantageous  bets  before  the  results 
of  the  race  were  generally  known. 

The  method  of  operation,  as  determined  by  Commission 
inspectors  listening  in,  was  this: 

At  the  start  of  the  race  a  person  could  be  heard  whistl¬ 
ing  on  a  certain  radio  frequency,  followed  by  the  words  "Oh  Johnny" 
repeated  several  times,  and  then  a  few  bars  from  such  songs  as 
"Beer  Barrel  Polka"  or  "Maryland,  My  Maryland"  would  be  sung.  As 
the  race  neared  the  finish  the  voice  would  suddenly  cut  in  with  a 
number, repeated  until  the  race  was  completed.  Immediately  after 
this  number  was  spoken,  a  stronger  signal  on  another  frequency  was 
observed  to  repeat  the  same  number  perhaps  10  or  15  times,  followed 
by  such  commonplace  expressions  as  "testing"  or  "testing  for  modula¬ 
tion",  and  finally  the  words,  "that  is  all".  On  checking  the  race 
results  it  was  obvious  that  the  number  in  question  referred  to  the 
number  of  the  winning  horse. 

By  the  use  of  highly  specialized  equipment  and  technique, 
the  party  in  the  grandstand  operating  the  transmitter  concealed  on 
his  person  was  finally  located.  This  transmitter  was  adjusted  to 
an  ultra-high  frequency  and  the  microphone  extended  down  into  the 
sleeve  of  the  overcoat  worn  by  the  operator.  To  speak  into  the 
microphone,  he  merely  raised  his  hand  to  the  back  of  his  neck  and 
appeared  to  be  conversing  with  his  look-out  companion,  or  shouting 
for  his  favorite  horse  to  win.  To  allay  suspicion,  he  carried  a 
program  and  consulted  it  between  races. 

The  grandstand  tip-off  man  had  a  clear  view  of  the  tour¬ 
ist  camp  in  which  the  high-powered  transmitter  was  located,  and 
received  acknowledgments  of  the  reception  of  his  transmission  by 
light  signals  flashed  by  the  operator  at  the  tourist  cabin.  On 
one  occasion,  the  operator  in  the  grandstand  remarked  on  the  air 
that  a  clothesline  obstructed  his  view  of  the  light.  This  announce¬ 
ment  enabled  the  inspectors  to  verify  the  exact  cabin  in  the  group 
where  the  presence  of  the  high-powered  radio  transmitter  had  been 
previously  located  by  a  radio  direction  finder,  even  though  the 


12/24/40 


antenna  was  concealed.  This  transmitter  was  built  into  a  trunk 
and  when  the  lid  was  closed  gave  no  semblance  of  a  radio  apparatus. 

Arrests  were  made  in  cooperation  with  the  West  Virginia 
State  Police  and  United  States  District  Commissioner  at  Martinsburg, 
after  evidence  had  been  presented  by  members  of  the  Commission's 
field  operations  section  personnel  -  Charles  Ellert,  Supervisor 
of  the  Central  Atlantic  Monitoring  Area;  Assistant  Monitoring  Offi¬ 
cer  Earl  M.  Johnson,  and  Radio  Operator  Kenneth  B.  Menear. 

XXX  XXXXXX 


GES  OFFER  FREE  COMMUNICATIONS  DEFENSE  COURSE 


Four  colleges  are  announcing  free  communications  or  radio 
classes  as  a  part  of  the  250  short,  intensive  training  courses 
designed  to  meet  the  shortage  of  engineers  for  service  as  design¬ 
ers,  inspectors,  and  supervisors  with  the  industries  and  G-overnment 
agencies  engaged  in  the  National  Defense  program. 

The  all-clear  signal  for  these  announcements  was  given 
when  J ohn  W.  Studebaker,  U.  S.  Commissioner  of  Education,  reported 
formal  approval  of  the  proposals  submitted  by  these  institutions 
to  Federal  Security  Administrator  Paul  V.  McNutt. 

George  Washington  University  in  Washington,  D.  C. ,  will 
give  a  radio  communications  course;  Tufts  College,  Medford,  Conn. , 
radio  engineering;  Duke  University,  Durham,  N.  C. ,  Communication 
engineering,  and  the  University  of  Puerto  Rico,  communication 
engineering. 

Prospective  students  must  satisfy  the  engineering  school 
giving  the  instruction  that  they  have  the  requisite  technical  train¬ 
ing  and  experience  to  understand  the  subject  and  that  they  are 
employable  in  defense  work.  Applicants  will  be  considered  by  the 
schools  individually.  Those  accepted  will  have  their  tuition  costs 
paid  by  the  Federal  Government.  Congress  recently  appropriated 
$9,000,000  to  be  administered  by  the  U.  S.  Office  of  Education,  for 
this  purpose. 

Director  of  the  Engineering  Defense  Training  program  in 
the  U.  S.  Office  of  Education  is  Roy  A.  Seaton,  Dean  of  the  Division 
of  Engineering  at  Kansas  State  College  since  1920.  Assisting  him 
are  an  advisory  committee  of  eleven  nationally  known  engineering 
educators  headed  by  A.  A.  Potter,  Dean  of  the  Purdue  University 
School  of  Engineering.  Twenty-two  non-salaried  regional  advisers, 
working  with  defense  industries  and  engineering  schools,  also  are 
assisting.  Dean  Seaton  said  that  a  total  enrollment  of  about 
25,000  persons  is  expected  in  the  Engineering  Defense  Training 
courses. 


XXXXXXXXX 
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NEW  WASHINGTON  STATION  VICTOR 


WINX,  Washington,  D.  C. ’ s  newest  station,  won  a  court 
battle  last  week  when  U.  S.  District  Court  Justice  Bolitha  J.  Laws 
dismissed  a  suit  challenging  the  validity  of  the  sale  of  the  build¬ 
ing  where  the  radio  station  is  located. 

Had  the  jurist  handed  down  a  contrary  decision,  WINX 
possibly  could  have  faced  the  loss  of  its  headquarters  if  the  new 
owner  of  the  structure  objected  to  the  presence  of  a  broadcasting 
studio . 


Harry  Sherr,  of  Orbinsonta,  Pa.  ,  who  owned  a  $20,000 
second  trust  upon  the  building,  asked  the  court  last  September  to 
enjoin  a  projected  improvement  of  the  building,  in  addition  to 
setting  aside  its  sale. 

On  advice  of  his  attorneys,  Alvin  Newmyer  and  David  Bress 
Lawrence  Heller,  WINX  owner  and  operator,  went  ahead  with  his  plans 
in  face  of  the  suit.  Justice  Laws’  ruling  also  disposed  of  the 
injunction  request. 

Located  on  the  northeast  corner  of  Eighth  and  I  Sts. ,N.E. 
the  building  was  purchased  in  a  foreclosure  sale  August  16  for 
$35,000  from  the  Faultless  Hosiery  Company,  by  Mrs.  Laverne  Kip- 
linger,  of  Bethesda,  Md.  Mr.  Heller  has  leased  it  from  her.  The 
sale  price  covered  only  the  first  trust  and  Sherr  realized  nothing 
on  it. 


Sherr  claimed  the  sale  was  not  properly  conducted  because 
it  did  not  bring  enough  money  and  he  was  not  notified  of  the  exact 
date  on  which  it  was  held. 

XXXXXXXXX 

NEW  YORK  POLICEMEN  TEST  INDIVIDUAL  2- WAY  SETS 

New  York  City  is  testing  a  ten-pound  two-way  radio  set 
by  which  foot  patrolmen  may  keep  in  touch  with  each  other. 

Patrolman  William  Proctor  demonstrated  the  set  in  Mayor 
La  Guardia’s  office  in  the  City  Hall,  wearing  a  brown  canvas  vest 
containing  battery  pockets  over  his  shoulders.  The  radio  trans¬ 
mitter  hung  over  his  chest  and  the  receiving  microphone  was  worn  on 
his  wrist  like  a  wrist  watch.  At  the  Mayor’ s  direction  Patrolman 
Proctor  got  into  communication  with  Patrolman  Herbert  Dennet  in 
City  Hall  Park  and  had  the  outside  man  report  his  position.  Dennet 
later  spoke  to  Radio  Car  10,  four  blocks  away  from  City  Hall,  and 
wound  up  by  getting  the  exact  time  from  Police  Headquarters. 

The  units  now  have  an  effective  radius  of  only  1,000  ft. 
but  that  limitation  can  be  expanded  through  relay  systems.  G.  S. 
Morris,  Superintendent  of  Police  Telegraph,  said  the  radio  would 
be  valuable  on  dangerous  arrests,  since  one  policeman  inside  a 
building  could  coordinate  and  direct  the  work  of  all  the  men  out¬ 
side.  The  device  can  be  worn  either  under  or  outside  a  regula¬ 
tion  police  uniform.  Its  cost  is  now  $165. 

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12/24/40 


CALDWELL  FACETIOUSLY  FETES  FCC  BAR  GROUP 


One  of  the  merriest  holiday  parties  in  Washington  was  the 
annual  cocktail  party  given  by  Louis  G.  Caldwell  to  the  incoming  and 
outgoing  presidents  and  their  wives  of  the  Federal  Communications 
Bar  Association.  On  this  occasion  the  honor  guests  were  Mr.  and 
Mrs.  Herbert  M.  Bingham  and  Mr.  and  Mrs.  Philip  J.  Hennessey,  Jr. 

There  was  a  cleverly  done  Gridiron  Club  twist  to  the  party 
with  good-natured  gibes  at  the  Federal  Communications  Commissioners 
and  others  in  which  even  the  lawyers  themselves  were  not  spared. 

One  way  of  carrying  this  out  was  by  means  of  signs  in  different 
parts  of  the  house,  such  as  ‘’Television  Just  Around  the  Corner”. 
Around  the  corner  one  found  himself  in  the  room  where  the  drinks 
were  being  served. 

In  the  midst  of  the  festivities  guests  were  surprised  to 
hear  Mr.  Bingham's  life  history  coming  over  the  radio.  In  reality, 
the  program  was  a  transcription,  gotten  together  for  Mr.  Caldwell 
by  Station  WOL.  Art  Brown  of  the  station  was  on  hand  to  lead  the 
singing  of  a  special  song  "Hail  to  Bingham”,  which  took  place  in 
Mr.  Bingham's  honor.  It  follows  in  part: 

Forty  winters  ago,  not  a  prophet  did  know 
Who  tonight's  chief  Exhibit  would  be, 

But  a  far-sighted  stork  took  a  flight  o'er  New  York 
And  he  lit  on  the  Bing  family  tree. 

Herb  has  travelled  since  then,  Culver,  Stanford  and  Penn, 

It  is  now  Doctor  Bing  we  salute.' 

Having  wandered  like  Wendell,  he  settled  to  law, 

And  did  rural  service  at  Butte. 


When  we  picked  Hennessey,  sure  we  though  we’d  be  free 
From  Depression  with  him  in  the  chair, 

But  the  darn  Irish  bloke,  every  pledge  he  has  broke, 
And  the  hearings  grow  ever  more  rare. 

When  he  failed  to  appease  the  procedural  squeeze 
(It  attenuates  fees,  say  the  boys) 

They  all  voted  in  block  for  the  New  Dealer  Doc, 

Who's  full  of  electrical  noise. 

Chorus 

Now  the  bench  and  bar  come  from  near  and  far 
To  honor  Herb  the  Bing; 

With  three  hundred  strong,  they  can't  all  go  wrong 
With  a  vagabond  for  king. 

Svelte  and  debonair,  with  a  social  flair 
Which  no  one  can  dispute, 

Who'll  serenade  this  Great  Crusade, 

It's  Herb  the  Bing  from  Butte. 


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About  150  attended  the  party,  including  Commissioners 
and  high  officials  of  the  FCC.  Also  others  of  prominence,  such  as: 
Mrs.  Burton  K.  Wheeler,  wife  of  the  Senator  from  Montana;  Justice 
and  Mrs.  Lawrence  G-roner,  Justice  and  Mrs.  Justin  Miller,  Justice 
and  Mrs.  Harold  Stephens,  Justice  and  Mrs.  Wiley  Rutledge  and 
Justice  and  Mrs.  Fred  M.  Vinson. 


Also  Commissioners  Charles  H.  March  and  William  S. 
Culbertson  of  the  Federal  Trade  Commission;  Robert  Fleming,  Presi¬ 
dent  of  the  Riggs  Bank,  and  Mrs.  Fleming,  Mark  Foote,  past  President 
of  the  (Gridiron  Club,  and  Mrs.  Foote,  and  Francis  W.  Hill,  Jr., 
President  of  the  District  Bar  Association,  and  Mrs.  Hill. 


xxxxxxxx 

SUPREME  COURT  TO  REVIEW  2ND  ASCAP  CASE 


With  the  zero  hour  of  the  Composers-Broadcasters  music 
battle  only  a  week  away,  the  U.  S.  Supreme  Court  just  before  recess¬ 
ing  for  the  holidays  agreed  to  review  a  decision  holding  invalid  a 
1937  Florida  law  directed  at  monopolistic  practices  of  music  copy¬ 
right  owners  and  parts  of  a  1939  statute  regulating  licensing  of 
public  performance  rights. 


Florida  appealed  from  a  decision  of  the  Northern  Florida 
Federal  District  Court,  seeking  to  establish  validity  of  both 
statutes,  while  the  American  Society  of  Composers,  Authors  and  Pub¬ 
lishers,  known  as  ASCAP,  appealed  from  the  same  decision  insofar  as 
it  held  valid  some  portions  of  the  1939  statute. 

The  high  court  recently  agreed  to  review  a  Nebraska  deci¬ 
sion  holding  invalid  a  State  anti-monopoly  law  which  permitted  the 
public  performance  of  music  whenever  the  original  purchase  price 
had  been  paid. 

The  litigation  was  another  phase  of  the  effort  of  ASCAP 
to  control  prices  charged  for  the  public  playing  of  popular  music 
under  its  control.  A  three-judge  Federal  court  in  Nebraska  held 
that  the  legislation  violated  the  Federal  copyright  laws. 

The  Florida  statute  the  Supreme  Court  promised  to  review 
was  passed  by  the  Legislature  last  year,  after  1937  law  met  dis¬ 
aster  in  the  courts.  In  April,  1939,  the  Supreme  Court  affirmed 
an  order  of  the  Northern  Florida  Federal  District  Court  granting 
a  temporary  injunction  against  the  1937  law.  Later  the  1939  statute 
was  passed.  It  also  was  designed  to  stop  monopolies  by  ASCAP  but 
was  remodelled  to  suit  court  objections. 


In  the  meantime  the  Department  of  Justice  was  evidently 
making  the  utmost  effort  to  conclude  negotiations  in  the  consent 
decree  proposed  for  ASCAP,  Unconfirmed  reports  were  to  the  effect 
that  there  was  a  hitch  in  the  proceedings  but  the  hone  was  express¬ 
ed  that  the  decree  might  be  presented  before  January  1st  when  the 

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12/84/40 


A3CAP  contracts  expire.  Even  after  a  consent  decree  there  might 
follow  much  litigation  but  it  is  believed  this  would  prevent  a 
break  and  actual  hostilities. 

Pending  this  the  NBC  last  Sunday  eliminated  on  most  of 
its  commercial  programs  all  music  controlled  by  the  Composers,  the 
company's  action  coming  a  day  earlier  than  had  been  announced  pre¬ 
viously.  Only  three  or  four  commercial  sponsors  are  expected  to 
use  the  Society's  music  this  week  on  the  company's  Red  and  Blue 
Networks,  it  was  said,  but  they  will  drop  it  before  January  1,  when 
the  present  contract  between  the  broadcasters  and  the  Society 
e  xp  i  re  s . 

The  Columbia  Broadcasting  System  intends  to  weed  out 
A5CAP  music  on  commercial  programs  beginning  Thursday,  the  belief, 
as  stated  above,  was  increasingly  voiced  in  both  radio  and  music 
circles  that  some  sort  of  a  truce  in  the  music  row  would  be  forth¬ 
coming  prior  to  January  1,  probably  this  week.  The  belief  was 
predicated  on  the  theory  that  ASCAP  would  agree  to  a  consent  decree 
in  the  anti-trust  action  brought  against  it  by  the  Department  of 
Justice.  Besides  the  amount  of  money  to  be  paid  for  music  heard 
on  the  air,  it  was  reported  that  the  question  of  signing  a  contract 
with  an  organization  accused  of  being  a  monopoly  has  accounted  in 
part  for  the  refusal  of  the  broadcasters  to  negotiate  with  the 
Society.  .. 

XXXXXXXXXX 


NOTES 

All  America  Cables  and  Radio,  Inc.  reoorts  that  through 
cable  service  from  Nei^  York  to  the  Island  of  Martinique  has  been 
restored.  It  was  interrupted  on  July  21  and  since  that  time  com¬ 
munication  service  with  Martinique  has  been  maintained  by  radio¬ 
telegraph. 


The  Radio  Manufacturers'  Association  has  launched  its 
plan  to  survey  industry  advertising  on  a  voluntary  cooperative 
basis.  Initial  steps  toward  establishment  of  desirable  and  techni¬ 
cally  correct  advertising  standards  and  practices  were  taken  up  at 
the  first  meeting  of  the  new  Committee  on  Advertising  held  in  New 
York  City.  Current  industry  advertising  was  surveyed  and  procedure 
begun  to  have  the  Association  recommend  voluntary  advertising  stand¬ 
ards,  similar  to  the  recommended  RMA  engineering  standards,  in  the 
interest  of  the  buying  public  and  the  trade,  as  well  as  manufactur¬ 
ers,  and  to  avoid  possible  criticism  from  the  public,  Better  Busi¬ 
ness  Bureaus  or  Government  agencies. 


NOTE  -  DUE  TO  THE  GOVERNMENT  TWO- DAY  HOLIDAY,  THERE 
WILL  BE  NO  ISSUE  OF  THIS  SERVICE  ON  FRIDAY,  DECEMBER  27,  1940. 

xxxxxxxx 

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12/24/40 


/ 


HIGKOK  JOINS  NATIONAL  DEFENSE  COUNCIL 


Guy  C.  Hickok,  for  the  past  three  and  a  half  years, 
Director  of  Short  Wave  Broadcasting  of  the  International  Division 
of  the  National  Broadcasting  Company,  has  joined  the  Council  of 
National  Defense  for  the  Coordination  of  Commercial  and  Cultural 
Relations  Between  the  American  Reouhlics.  John  F.  Royal,  NBC 
Vice-President  in  Charge  of  Foreign  Relations,  in  announcing 
Hickok1 s  new  affiliation,  said  he  did  so  with  reluctance  at  the 
insistence  of  Don  Francisco,  head  of  the  Radio  Division  of  the 
Committee  of  Communications. 


Under  Mr.  Hickok1 s  direction,  the  program  service  of  the 
International  Division  won  wide  acclaim  abroad  and  the  mail  res- 
ponce  from  listeners  in  foreign  countries  jumped  from  some  400 
"letters  a  month  to  over  4000  a  month.  Mr.  Hickok  will  be  assistant 
to  Don  Francisco.  Mr.  Francisco  is  at  present  on  a  three  month 
trip  to  South  America.  Mr.  Hickok  returned  recently  from  an  in¬ 
spection  tour  of  the  principal  Latin  American  countries. 


One  of  the  major  duties  of  the  Radio  Committee  will  be 
the  coordination  of  American  short-wave  service  to  Latin  America 
and  the  promotion  of  American  programs  throughout  South  America. 


xxxxxxxx 

TAXES  FORESHADOW  1940  RADIO  RECORD 


Collections  of  radio  excise  taxes  last  November  showed  an 
increase  of  37  percent  over  radio  taxes  in  November,  1939,  and  in¬ 
sured  an  all-time  high  record  in  the  final  1940  radio  collections. 
November  radio  taxes  amounted  to  $791,483.01,  compared  with  collec¬ 
tions  last  October  of  $703,304.20  and  with  $577,776.05  in  November, 
1939.  Refrigerator  tsx  collections  last  November  declined,  amount¬ 
ing  to  $302,618.83,  against  $400,205.55  in  November,  1939. 

Compilations  of  Revenue  Bureau  statistics  made  by  the 
Radio  Manufacturers’  Association,  presaged  total  radio  tax  collec¬ 
tions  in  1940  of  over  $6,750,000,  which  would  be  an  all-time  yearly 
record  since  the  inauguration  of  the  5  percent  radio  tax  in  June, 
1932.  Radio  taxes  already  collected,  for  the  eleven  months  ending 
November  30  this  year,  were  far  beyond  the  total  1939  radio  collec¬ 
tions,  due  in  part  to  the  increased  rate,  from  5  percent  to  5-1/2 
percent,  which  became  effective  last  July  1.  For  the  eleven  months 
ending  in  November,  according  to  computation,  the  radio  tax  collec¬ 
tions  already  total  $6,155,895.53,  compared  with  the  total  1939 
excise  taxes  of  $5,229,649.14,  while  the  comparative  collections 
for  the  eleven  months  of  1939  ending  November  were  $4,485,525.46, 
which  was  37.2  percent  less  than  the  comparative  collections  for 
the  eleven  months  this  year. 

The  past  record  for  radio  tax  collections  was  reached  in 
1937  with  a  total  pf  $6,658,962.23,  but  it  appeared  certain  that 
normal  large  collections  this  month  (with  December  excise  taxes 
ranging  from  $600,000  and  up  in  past  years)  would  bring  the  1940 
total  to  a  new  high  record. 

XXXXXXXX 


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12/24/40 


NEW  LONG  LINES  HEAD  OF  A.T.&  T. 


Frank  P.  Lawrence,  Vice  President  and  General  Manager  of 
the  Manhattan  Area  of  the  New  York  Telephone  Company,  was  elected 
Vice  President  of  the  A.  T.  &  T.  Company  and  will  be  placed  in 
charge  of  the  Long  Lines  Department,  effective  January  1.  Sydney 
Hogerton,  General  Manager  of  the  Long  Lines  Department,  will  retire 
on  January  31,  1941,  and  James  J.  Pilliod,  Engineer,  will  succeed 
him  in  that  position,  effective  February  1. 

Frank  Pell  Lawrence  was  born  at  Newark,  N.  J. ,  on  October 
18,  1886.  He  was  graduated  from  Newark  High  School  and  studied 
civil  engineering  at  Lehigh  University. 

The  new  head  of  the  Long  Lines  Department  spent  seventeen 
years  at  various  posts  in  the  Middle  and  Southwest.  Mr.  Lawrence 
was  made  Supervising  Construction  Foreman  in  July,  1913,  District 
Plant  Engineer  in  January,  1917,  and  Division  Plant  Engineer  in 
July  of  the  following  year.  He  transferred  to  Kansas  City  on  being 
appointed  Division  Construction  Superintendent  in  February,  1920, 
and  the  next  July  his  title  was  changed  to  Division  Plant  Superin¬ 
tendent. 


Mr.  Lawrence  was  transferred  to  the  New  York  Comoany  in 
March,  1929,  being  made  General  Plant  Manager  for  its  Upstate 
Area.  Four  years  later  he  went  to  the  Manhattan  Area,  with  the 
same  title.  On  October  1,  1934,  he  returned  to  the  Uostate  Area 
as  Vice  President  and  General  Manager,  while  on  January  1,  1939, 
he  again  came  to  New  York,  but  this  time  as  Vice  President  and 
General  Manager  of  the  Manhattan  Area.  Mr.  Lawrence  was  appointed 
Vice  President  of  the  A.  T.  &  T.  Company  on  November  20. 


XXXXXXXXX 


COMPENSATION  FOR  DRAFTED  OR  ENLISTED  WOR  EMPLOYEES 


Drafted  WOR  employees  or  those  who  enlist  in  the  Army  or 
Navy  will  receive  a  financial  differential  between  their  civil  and 
military  salary  for  varying  lengths  of  time  depending  on  the  term 
of  their  WOR  employment,  Alfred  J.  McCosker  announced  last  week. 

Staff  members  who  have  been  with  WOR  for  a  year  or  longer 
will  receive  the  difference  between  their  salaries  at  the  time  of 
leaving  and  the  pay  they  will  receive  for  military  service  for  a 
period  of  three  months  after  leaving  the  station.  Those  who  have 
been  with  WOR  for  less  than  one  year  will  receive  the  difference 
between  their  WOR  salaries  and  their  military  pay  for  one  month. 


In  addition  full  salary  will  be  paid  for  vacations  which 
have  accrued  to  an  emoloyee  at  the  time  of  his  leaving  for  military 
service . 


XXXXXXXX 
-  12  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


V’H-1  -gjpRfrk  i-1* 


ruJK  ^ 

30  BocKtftaw 


_  ftWi 


IiMDEX  TO  ISbOE  OF  DECEMBER  31,  1940 


Hew  Congress  Will  Make  FCC  Hop . 

Defense  Communications  Board  To  Meet . 

Government  Suit  Bad  Break  For  Radio . 

19?0  Magical,  Says  Times  Editor  Reviewing  Year.... 

Reduced  Channel  Separation  Proposed  In  Aviation. . . 

Another  Suspicious  national  Capital  Power  Blackout 

Trade  Rotes . 

Alters  VITA  Radio  Policy . 

FCC  Amends  Rules  Regarding  Applications . 

Gets  Leave  To  Assist  Rockefeller . 

Sarnoff  Expresses  Hope  In  American  Ingenuity . 


.3 

.4 

.6 

.7 

.8 

.9 

10 

II 

11 


lE 


Ho.  1P97 


December  31,  1940 


HEW  CONGRESS  WILL  MaKE  FCC  HOP 


Although  no  drastic  legislative  action  is  in  sight,  with 
the  exception  of  the  possibility  of  the  long  expected  Congressional 
investigation  of  the  radio  industry,  which  if  it  took  place  would 
undoubtedly  include  the  deodorization  of  the  Federal  Communications 
Commission,  the  convening  of  the  new  Congress  will  cause  increased 
activity  among  government  radio  officials. 

The  first  thing  probably  that  will  receive  Congressional 
attention  will  be  the  belated  monopoly  report  which  will  be  lucky  if 
it  isn’t  greeted  with  a  shower  of  brickbats.  The  FCC  Committee  pre¬ 
liminary  monopoly  recommendations  met  with  such  a  warm  reception  on 
the  Hill  that  it  is  believed  an  entirely  new  report  is  now  being 
written. 


Only  the  Mutual  Broadcasting  bystem,  among  the  major  net¬ 
works,  supported  the  FCC  Committee *s  conclusions  that  networks  be 
licensed,  that  exclusive  affiliate  contracts  be  banned,  and  that  the 
FCC  in  effect  supervise  the  dealings  of  stations  and  networks. 

One  prediction  is  that  the  upshot  of  the  whole  thing  will 
be  the  FCC  reporting  to  Congress  that  it  has  no  commercial  juris¬ 
diction  over  the  chains,  ana  if  this  opinion  is  upheld,  would  have 
no  power  to  act  in  the  matter. 

Lena  tor  Wallace  White,  Republic?. xi,  of  Maine,  early  in  the 
session  wilx  renew  his  efforts  for  an  inquiry  into,  or  a  survey  of, 
the  entire  radio  situation.  It  may  be  accompanied  by  a  resolution 
proposixig  a  reorganization  of  the  FCC.  If  so,  he  probably  would  be 
backed  up  by  Senator  Burton  K.  Wheeler,  Democrat,  of  Montana,  Chair¬ 
man  of  the  Senate  Interstate  Commerce  Committee,  the  most  relentless 
investigator  in  the  Senate  and  Senator  Tobey,  Republican,  of  Hew 
Hampshire,  the  stormy  petrel  in  the  Thad  Brown  hearings. 

The  Department  of  Justice  cracking  down  on  both  the  Broad¬ 
casters  and  the  Composers  thereby  keeping  the  financial  side  of 
radio  in  the  limelight,  may  prove  to  be  quite  a  factor  in  bringing 
on  a  Congressional  investigation.  The  criminal  proceedings  which 
Attorney  General  Jackson  has  ordered  will  focus  public  attention  on 
the  profits  made  by  the  networks  and  all  this  may  prove  alluring  to 
Congress  always  eager  to  investigate.  On  the  other  hand,  it  may  be 
disastrous  to  the  industry  if  it  winds  up  in  network  restrictions  or 
a  heavy  tax  on  network  stations. 

The  Senators  may  hive  something  to  say  when  and  if  a  new 
FCC  Commissioner  is  named  to  succeed  Colonel  Brown.  Also  if  instead 
of  filling  the  vacancy  President  Roosevelt  decides  to  reorganize  the 
Commission  perhaps  along  the  lines  of  the  Civil  Aeronautics  Authority 


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12/31/40 


The  FCC  will  likewise  come  to  the  attention  of  the  new 
Congress  in  the  matter  of  the  Commission's  1942  budget.  Although 
definite  figures  have  not  as  yet  been  made  public ,  the  Commission 
is  said  to  be  asking  for  something  more  than  ?4,0u0,000  for  overall 
activities  from  July  1941-42.  Base  appropriations  for  the  current 
fiscal  year  amounted  to  over  $2,000,000.  During  the  year  the  Com¬ 
mission  received  $1,600,000  from  the  President's  National  Defense 
Fund  and  $175,000  for  relocation  of  monitoring  stations.  A  large 

item  in  the  1941-2  appropriation  is  national  defense. 

XXXXXXXX 


DEFENSE  COMMUNICATIONS  BOARD  TO  MEET 


Further  indication  of  tightening  up  all  along  the  line  in 
national  security  will  be  the  first  general  meeting  of  the  Defense 
Communications  Board  in  Washington  Mona ay,  January  6.  Chairman 
James  Lawrence  Fly  and  associate  members  have  been  at  work  for  sever 
al  weeks  on  the  preliminaries.  Those  with  him  in  this  were  Major 
Gen.  Joseph  0.  Mauborgne,  Chief  Signal  Officer  of  the  Army,  Rear 
Admiral  Leigh  Noyes,  Director  of  Naval  Communications;  Hon.  Brecken- 
ridge  Long,  Assistant  Secretary  of  State  in  Che rge  of  the  Division 
of  International  Communications;  oecretary  Herbert  E.  Gaston, 
Assistant  Secretary  of  the  Treasury  in  Che rge  of  the  Coast  Guard. 
Also  a  Coordinating  Committee  composed  of  E.  K.  Jett,  Chief  Engineer 
Federal  Communications  Commission,  as  Chairman,  Francis  C.  de  Wolf, 
State  Department;  Maj.  W.  T.  Guest,  War  Department  and  Commander 

J.  F.  Farley,  Chief  of  Communications,  U.  S.  Coast  Guard,  Treasury 
Dept  rtment . 

Due  to  the  fact  that  there  are  eleven  subcommittees  the 
sessions  will. be .held  in  the  large  hearing  room  of  the  Interstate 
Commerce  Commission  but  only  committee  members  will  be  admitted 
and  the  public  excluded. 

The  Committees  are  Law,  Labor,  Industry,  Amateur  Radio, 
Aviation,  Cable,  Domestic  Broadcasting,  Interdepartmental  Radio, 
Interne tional  Broadcasting,  Radiocommunications,  State  and  Municipal 
Facilities,  Telephone,  Telegraph,  and  U.  S.  Government  Facilities. 

No  indication  has  been  given  as  to  the  length  of  the  meeting,  but 
it  is  assumed  that  it  will  not  last  more  than  a  day. 

XXXXXXXXXX 


"Radio  War  on  the  U.S.A."  (Berlin's  "bombs  for  the  mind") 
is  the  title  of  an  article  in  the  January  issue  of  "American 
Mercury". 


XXXXXXXXXX 


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GOVERiMMEiMT  SUIT  BAD  BREAK  FOR  RADIO 


Whether  or  not  the  suits  are  ever  prosecuted,  Attorney- 
General  Jackson  so  unexpectedly  cracking  down  on  the  Broadcasters 
was  a  bad  break  for  them.  President  Seville  Miller  of  the  National 
Association  of  Broadcasters  had  been  enthusiastically  proddding  the 
Department  of  Justice  to  prosecute  ASCAP  and  probably  was  the  most 
surprised  man  in  Washington  when  the  Attorney  General  landed  on  BMI 
with  equal  force. 

It  was  a  surprise  move  which  newspapers  all  over  the 
country  played  up  on  the  front  page  bringing  the  copyright  war  to 
the  attention  of  millions  of  radio  listeners  who  probably  never  heard 
of  it.  Without  this  publicity  the  Broadcasters  could  have  slipped 
in  the  BMI  music  without  listeners  knowing  the  difference.  One  big 
network  broadcaster  told  this  writer  that  there  hadn't  been  a  single 
complaint  from  listeners  on  BMI  music. 

ASCAP  had  well  laid  plans  to  arouse  the  public,  but  anyone 
who  has  had  any  experience  with  arousing  the  public  knows  this  is  a 
most  difficult  thing  to  do.  If  Attorney  General  Jackson  had  singled 
out  ASCAP  for  prosecution  this,  of  course,  would  have  attracted  atten 
tion  and  might  have  gained  syrnphathizer  s  though  people  are  not  quite 
so  quick  to  sympathize  when  a  criminal  charge  is  involved.  However, 
in  taking  a  crack  at  the  Broadcasters  as  well,  the  Attorney  General 

(brought  the  fight  to  the  attention  of  the  entire  listening  public 
and  put  them  on  guard  in  a  manner  it  would  have  been  utterly  impos¬ 
sible  for  ASCAP  to  he ve  done.  Altogether  it  was  a  great  publicity 
break  for  the  Composers  who  made  no  effort  to  conceal  their  satis¬ 
faction  at  the  turn  events  had  taken. 

Well  informed  observers  in  Washington  believed  that  there 
is  still  a  chance  that  the  suit  will  be  settled  before  the  Department 
of  Justice  files  criminal  proceedings  in  Milwaukee. 

John  G.  Paine,  General  Manager  of  the  American  Society  of 
Composers  and  publishers,  declared: 

"Even  up  to  the  last  minute,  if  the  c ha. ins  show  the  in¬ 
clination,  something  may  be  worked  out  in  a  few  hours  so  that  the 
public  might  continue  to  hear  the  music  over  the  air." 

I  The  dispute  centers  around  the  five-year  contract  which 

expires  today  (December  31).  The  Society's  new  contract  asks  7g  per 
cent  of  the  gross  income  from  all  commercial  programs,  while  the 
broadcasters  offer  payment  on  a  per  program  basis  if  ASCAP  music  is 
used . 

Despite  the  Government  action,  it  is  evident  at  this  writ¬ 
ing  that  Broadcasters  intend  to  go  ahead  with  their  plan  to  put  on 
BMI  music. 


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l£/31/40 


Present  ASCaP  contracts  have  been  renewed  on  the  new  terms 
by  only  a  minority  of  radio  stations  and  it  is  alleged  that  more 
than  600  stations  have  subscribed  to  the  rival  music  copyright  ser¬ 
vice.  Washington  radio  attorneys  disclosed  that  many  independent 
stations  over  the  country  are  hopelessly  confused  by  the  latest 
development  and  are  preparing  to  obtain  both  ASCAP  and  BMI  licenses 
to  avoid  any  danger  of  copyright  infringement . 

The  law  prescribes  a  $£50  fine  for  each  infringement  of 
musical  copyrights,  and  even  HAB  officials  admit  that  it's  not  going 
to  be  easy  to  avoid  mistakes. 

ASCAP  and  BMI,  on  the  other  hand,  have  their  worries. 

Should  either  or  both  be  convicted  of  anti-trust  activities,  as 
alleged  by  the  Justice  Department,  they  would  be  liable  to  triple 
damage  suits  from  their  licensees. 

One  rumor  in  Washington  was  that  the  Department  of  Justice 
really  proposed  to  go  through  with  the  ASCAP-BMI  prosecution  and 
that  it  was  not  merely  a  bluff  by  Attorney  General  Jackson  to  bring 
about  a  settlement.  Furthermore,  it  was  said  that  the  Justice  Depart 
ment  also  proposed  to  give  some  attention  to  the  activities  of  James 
C.  Pctrillo,  the  $46, 000-a-year  music  "czar"  of  the  American  Federa¬ 
tion  of  Labor  who  recently  issued  an  ultimatum  regarding  broadcast¬ 
ing  by  Army  bands. 

Headed  "Department  of  Justice  Confused"  the  National 
Association  of  Broadcasters  issued  the  following  statement: 

"Further  evidence  of  misunderstanding  by  the  Department  of 
Justice  concerning  BMI ' s  set-up  was  the  Department's  reference  to 
ASCAP  and  BMI  'members'.  ASCaP  has  members.  BMI  has  no  members. 
ASCAP  is  a  'protective  society'.  BMI  is  a  musical  publishing  house. 

"For  example,  in  the  lowest  paid  ASCAP  membership  group, 
a  member  pays  a  $10.00  annual  dues  fee  to  the  society  against  his 
average  annual  receipts  of  $£0.00  paid  by  ASCAP  to  the  'member'  for 
all  rights  to  his  music. 

"In  contrast,  BMI  makes  no  restricted  contracts  with  com¬ 
posers.  Dior  does  it  receive  any  form  of  'dues'  from  any  author  or 
composer.  BMI  merely  publishes  their  compositions,  pays  them  royalty 
fees  and,  in  addition,  pays  them  for  the  use  of  compositions  over  the 
air  in  exact  ratio  to  the  number  of  performances. 

XXXXXXXX 


H0TE  -  DUE  TO  THE  HEW  YEAR  HOLIDAY,  THE  REGULAR  FRIDAY 
ISSUE  WILL  BE  OMITTED  THIS  WEEK. 

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12/31/40 


1940  MAGICAL  SaYS  TIMES  EDITOR  REVIEWING  YEAR 


If  1940  was  magical,  T.  R.  Kennedy,  Radio  Editor  of  the 
iMew  York  Times  observes  the  new  year  is  destined  to  be  even  more  so. 
Reviewing  the  past  year,  Mr.  Kennedy  writes: 

"More  than  11,000,000  receivers  came  off  the  factory  work 

benches  -  2,000,000  of  them  for  automobiles - The  industry  now  pays 

its  500,000-odd  workmen  at  the  rate  of  more  than  $500,000,000  annual¬ 
ly,  an  increase  of  15  to  20  percent  over  1939. 

"Effective  last  July,  the  Federal  Communications  Commission 
required  American  short-wave  broadcasters  to  maintain  a  minimum  power 
of  fifty  kilowatts  -  equal  to  the  larges  transmitters  of  foreign 
countries.  Sponsored  programs  were  authorized. 

"On  radio  waves  regarded  in  the  early  Nineteen  Twenties  as 
practically  useless,  1940  saw  the  inauguration  of  a  whole  new  method 
of  broadcasting  known  as  FM.  A  dozen  transmitters  went  on  the  air 
within  a  few  months  -  recently  twenty-five  such  stations  were  author¬ 
ized  to  install  high-power  apparatus  and  to  operate  'as  soon  as  pos¬ 
sible'  on  a  business  par  with  existing  long-wave  broadcasters.  .  .  . 

"A  recent  survey  disclosed  at  least  7,000  FM  receivers 
operating  daily  in  the  Greater  Hew  York  area;  12,000  in  cities  along 
the  Atlantic  Coast.  More  than  fifteen  large  set  makers  were  produc¬ 
ing  receivers  as  1940  drew'  near  its  end,  and  four  or  five  other 
plants  were  building  the  needed  transmitters . 

"Much  technical  progress  was  made  in  television  during  the 
latter  part  of  1940,  while  its  operation  'marked  time'  at  the  request 
of  the  FCC,  to  effect  a  standardization  of  transmission  and  recep¬ 
tion  systems.  This  work,  now  being  finished  by  the  national  Tele¬ 
vision  Systems  Committee,  is  scheduled  to  go  before  the  FCC  by  Janu¬ 
ary  27. 


"Devised  by  Dr.  Alfred  H.  Goldsmith,  Hew  York  consulting 
engineer,  a  novel  method  of  utilizing  many  small  cathode-ray  tubes 
instead  of  a  single  large  one  to  increase  the  size  of  projected  tele¬ 
vision  images,  is  designed  to  be  plugged  into  existing  home  tele¬ 
view  sets,  or  to  be  utilized  for  large  screen  views  in  theatres. 

"Color  television  received  the  attention  of  experimenters. 
It  seems  safe  to  predict  that  color  will  be  featured  on  the  video 
bands  within  a  few  years  as  the  result  of  basic  tests  made  in  1940. 
High  among  the  list  of  such  experimenters  was  Dr.  Peter  Goldmark, 
Chief  Television  Engineer  of  the  Columbia  Broadcasting  System,  who 
introduced  outside  pickups  and  scenes  from  films  through  the  utiliza¬ 
tion  of  vari-colored  whirling  disks..  .  . 

"Tiny  waves  less  than  a  meter  long,  in  two  ethereal  hops 
linked  the  Empire  State  teleview  station  with  an  RCA  receiving  depot 
at  Riverhead,  L.  I.,  eighty  miles  distant.  ... 


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12/31/40 


"Encouraged  by  the  success  of  the  tests,  NBC  began  con¬ 
struction  of  a  new  television  unit  at  Washington,  later  to  be  joined 
in  a  tri-city  system  -  hew  York,  Philadelphia  and  Washington.  .  .  . 

"Camera- size  radios  came  into  vogue  during  the  past  twelve 
months, aided  by  the  creation  of  special  dry  batteries  capable  of 
operating  new  thimble-size  vacuum  tubes  for  many  hours.  Home  record¬ 
ing  gained  in  popularity;  nearly  750,000  units  were  built.  With  the 
gaining  popularity  of  radio-phonograph  combinations  and  record  play¬ 
ers  came  phonograph  record  sales  for  1940  exceeding  the  75,000,000 
mark. 


XXXXXXXX 


REDUCED  CHANNEL  SEPARATION  PROPOSED  IN  AVIATION 


A  progressive  schedule  of  installation  of  ultra  high  fre¬ 
quency  apparatus  has  been  provided  in  a  proposed  amendment  to  Part  9, 
Rules  and  Regulations  Governing  Aviation  Services.  The  proposals 
are  based  on  the  recommendations  of  Subcommittee  No.  9  of  the  Radio 
Technical  Committee  for  Aeronautics  and  discussions  held  between 
representatives  of  the  Commission,  other  government  departments  and 
licensees.  They  involve  the  use  of  the  ultra  high  frequencies  for 
airport  control  purposes. 

A  reduced  channel  separation  between  the  frequencies  as¬ 
signed  for  airport  traffic  control  has  been  set  up  with  consequent 
increase  in  the  number  of  assignable  frequencies  and  amplitude  modu¬ 
lation  rather  than  frequency  modulation  is  adopted  for  the  aviation 
service . 


Any  who  are  interested  in  the  adoption  of  these  proposed 
rules  are  invited  to  comment  to  the  Federal  Communications  Commis¬ 
sion  upon  any  specific  provision  or  on  the  proposal  as  a  whole.  It 
is  requested  that  comments  be  submitted  by  letter  to  the  Secretary  on 
or  before  January  31,  1941. 

XXXXXXXX 

IOWA  STUDENT  WINS  BURKAN  COPYRIGHT  COMPETITION 

Winners  of  the  1940  Nathan  Bureau  Memorial  Competition  in¬ 
augurated  by  the  American  Society  of  Composers  in  memory  of  its  for¬ 
mer  General  Counsel,  were  Frank  R.  Miller,  State  University  of  Iowa, 
Iowa  City,  Iowa,  "A  Re-Examination  of  Literary  Piracy",  Frank  D. 
Emerson,  Western  Reserve  University,  Cleveland,  Ohio,  "Public  Per¬ 
formance  for  Profit:  Past  and  Present";  Calvin  Welker  Evans,  Univer¬ 
sity  of  Arizona,  Tucson,  Arizona,  "The  Law  of  Copyright  and  the  Right 
of  Mechanical  Reproduction  of  Musical  Compositions" ;  Irving  Propper, 
Brooklyn  Law  School  of  s a.  Lawrence  University,  Brooklyn,  N.  Y., 
"American  (Popular'  Music  and  the  Copyright  Law",  Robert  W.  Bergstrom 
Chicago-Kont  College  of  Law,  Chicago,  Ill.,  "The  Business  man  Deals 


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lfc/31/40 


With  Copyright";  Howard  B.  Pickard,  University  of  Oklahoma,  Norman, 
Oklahoma,  "Common-Law  Rights  Before  Publication",  Milton  Harold 
Aronson,  Washington  University,  St.  Louis,  Missouri,  "The  Develop¬ 
ment  of  Motion  Picture  Copyright". 

Forty  law  schools  participated  in  the  competition  in  1938 
and  eighty-one  in  1940. 

XXXXXXXXX 


AiMOTHER  SUSPICIOUS  NATIONAL  CAPITAL  POWER  BLACKOUT 


Following  closely  a  blackout  of  power  on  all  Washington 
and  Baltimore  radio  stations  and  everything  else  in  these  cities  us¬ 
ing  electricity  a  wire  placed  by  an  unknown  person  on  the  main 
Virginia  Public  Service  Co.  power  line  between  Alexandria  and  nrling 
ton,  Va.,  just  across  the  Potomac  from  Washington,  D.  C.,  last 
Wednesday  cut  off  current  to  the  naval  radio  station  in  Arlington  - 
which  transmits  signals  to  ships  at  sea  -  and  blacked  out  more  than 
1,000  homes. 

(At  the  Wavy  Department,  it  was  said  that  the  interruption 
of  current  caused  only  momentary  inconvenience  at  the  naval  radio 
station.  It  was  explained  that  the  station  has  auxiliary  power, 
and  any  failure  in  the  public  supply  merely  prompts  an  engineer  to 
throw  a  switch  turning  on  the  emergency  unit. 

Although  sabotage  was  denied  in  the  first  blackout  power, 
company  officials  admitted  the  possibility  of  sabotage  in  the  second 
instance,  "in  which  case  the  trouble  probably  would  be  repeated", 
but  were  more  inclined  to  believe  a  prank  was  intended. 

The  wire,  several  feet  long  and  not  insulated,  was  placed 

Ion  the  line  at  the  top  of  a  pole  at  South  Seventh  Street  and  Vi/ashing 
ton  Boulevard,  Arlington.  Officials  believed  it  was  thrown  from  the 
ground  or  placed  by  a  person  who  climbed  the  pole  and  handled  the 
wire  with  gloves.  The  spot  is  at  the  south  end  of  Arlington  Nation¬ 
al  Cemetery  -  a  sparsely  settled  section. 

A  short  circuit  became  evident  at  the  Alexandria  power¬ 
house  at  11:33  P.M.  and  the  current  went  out  in  the  Aurora  Hills  and 
Virginia  Highlands  communities  in  Arlington  County  and  the  Del  Ray 
and  Roscmont  suburbs  of  Alexandria.  A  trouble  crew  was  sent  out  to 
locate  the  trouble  and  service  was  resumed  at  12:28  A.M. 

Arlington  firemen  put  out  flames  at  the  top  of  the  pole, 
caused  by  the  short  circuit. 

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12/31/40 


•  • 

;;  TRADE  ROTES 


A  streamlined  annual  report  of  the  Federal  Communications 
Commission,  brought  up  to  date  but  half  the  size  of  last  year’s, 
will  be  released  Thursday,  January  2. 


Five  stations  in  an  Oklahoma  regional  network  will  become 
affiliates  of  the  Rational  Broadcasting  Company  January  1.  They  are 
KADA,  Ada;  KVSO,  Ardmore;  KCRC,  Enid;  KBIX,  Muskogee,  and  KGFF, 
Shawnee . 


Television  will  be  discussed  at  the  Fourth  Annual  Engineer¬ 
ing  Conference  of  Ohio  State  University  at  Columbus  on  February  10 
to  21.  Among  the  speakers  will  be  Dr.  W.  R.  G.  Baker,  Director  of 
the  RMA  Engineering  Department,  who  will  discuss  the  work  of  the 
Rational  Television  Systems  Committee.  Chief  Engineer  E.  K.  Jett 
of  the  Federal  Communications  Commission  will  discuss  national  de¬ 
fense  problems  in  the  communication  field,  and  other  speakers  will 
include  Major  E.  H.  Armstrong  on  frequency  modulation. 


The  Rational  Broadcasting  Company  networks  accounted  for 
118  of  the  172  programs  and  personalities  voted  ’’tops"  in  Radio 
Daily's  Annual  Poll  of  radio  editors,  according  to  a  RBC  press 
release . 


A  hearing  has  been  set  for  Friday,  February  21,  on  the 
application  of  WMBG,  Havens  and  Martin,  Richmond,  Va.,  for  5  KW  day 
and  night  unlimited  time. 


Harry  L.  Erlicher,  purchasing  agent  of  General  Electric 
since  1931  and  an  employee  of  the  company  40  years, was  elected  a 
Vice-President  at  a  meeting  of  the  Board  of  Directors  in  now  York. 
He  will  continue  to  be  in  charge  of  the  company’s  purchasing  activ¬ 
ities. 


Ultra  high  frequency  will  be  used  in  1941  by  American 
Airlines,  a  station  is  being  erected  between  Rev;  York  and  Boston. 


Denying  him  the  privilege  of  operating  Station  W2XEH  on  a 
commercial  basis  the  Federal  Communications  Commission  granted 
special  temporary  authority  to  Major  Edwin  H.  Armstrong  to  operate  a 
high  frequency  experimental  broadcast  station  on  42800  kilocycles, 
4000  watts  power  at  Alpine,  H.  J. 


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The  zenith  Radio  Corporation  has  been  granted  special 
temporary  authority  to  operate  a  high  frequency  experimental  broad¬ 
cast  station  on  4£800  kilocycles,  5000  watts,  special  emission  for 
frequency  modulation  with  transmitter  located  at  505  H .  Michigan 
Avenue,  Chicago 


Station  WOR  has  abandoned  its  practice  of  maintaining  a 
skeleton  office  staff  on  Saturday  mornings.  Hereafter  the  offices 
will  be  closed  from  Friday  afternoon  to  Monday  morning. 


Rufus  C.  Maddux  has  been  appointed  Director  of  Sales  of 
WOR.  He  was  Director  of  Advertising  and  Publicity  for  the  Hew 
England  Council. 


Major  John  a.  Holman,  General  Manager  of  KJDKA,  has  receiv¬ 
ed  orders  from  the  War  Department  to  report  for  active  duty. 


An  8-pagc  Radio  and  Theater  tabloid  section  was  started 
recently  as  a  regul-  r  Sunday  feature  of  the  Chillicothe  (Ohio) 
Gazette  and  Hews  Advertiser .  a  complete  weekly  rrdio  schedule  is 
offered  with  copy  restricted  in  order  that  it  might  be  laid-out 
around  radio  progr-ms. 


XXXXXXXX 

ALTERS  WPA  RADIO  POLICY 


The  Work  Projects  Administration  in  Washington  states 
that  no  WPA  musical  programs  would  be  broadcast  after  December  SI 
until  such  time  as  schedules  could  be  rearranged  to  insure  widest 
possible  reception  of  its  concert  music. 

"WPA  has  decided",  an  official  said,  "that  it  is  a  waste 
of  time  and  effort  to  fill  the  air  at  random  with  whatever  music 
the  various  units  arc  prepared  to  offer.  After  the  firs  of  the 
year  no  programs  will  be  broadcast  until  worthwhile  concerts  can  be 
given  on  regular  schedules." 

Local  officials  of  the  major  broadcasting  chains  said  that 
so  far  as  they  knew  there  had  been  no  WPA  programs  on  the  networks. 
Broadcasts,  it  was  said,  have  be»en  handled  by  some  individual  sta¬ 
tions  . 

The  WPA  did  not  explain  just  what  arrangements  it  desir¬ 
ed  before  resuming  broadcasts,  but  an  official  said  it  was  hoped 
something  "entirely  new"  would  be  worked  out  whereb.  WPA  concerts 
would  be  broadcast  at  regular  periods. 


xxxxxxxx 

-  10  - 


0 


12/21/40 


FCC  AMENDS  RULES  REGARDING  APPLICATIONS 


The  Federal  Communications  Commission  has  amended  Section 
1.72  of  its  Rules  and  Regulations  to  read  as  follows: 

S.  1.72  -  Defective  applications —  (a)  Applications  which 
are  defective  with  respect  to  completeness  of  answers  to  re¬ 
quired  questions  execution,  or  other  matters  of  a  purely  formal 
character  will  not  be  received  for  filing  by  the  Commission  un¬ 
less  the  Commission  shall  otherwise  direct. 

(b)  Applications  which  have  been  received  for  filing  but 
which  are  not  in  accordance  with  the  Commission's  rules,  regu¬ 
lations  or  other  requirements  will  be  considered  defective.  If 
an  applicant  by  specific  request  of  the  Commission  is  required 
to  file  any  documents  or  information  not  included  in  the  pre¬ 
scribed  application  form,  a  failure  to  comply  therewith  will 
constitute  a  defect  in  the  application.  Such  defective  applica¬ 
tions  wall  not  be  considered  by  the  Commission. 

The  Commission  also  adopted  new  Sections  1.76  and  1.77  to 
its  Rules  and  Regulations,  reading  as  follows: 

S.  1.76  Withdrawal  of  papers  -  The  granting  of  a  request  to 
dismiss  or  withdraw  an  application  or  a  pleading  does  not  author¬ 
ize  the  removal  of  such  application  or  pleading  from  the  Commis¬ 
sion's  records.  No  application  or  other  document  once  officially 
filed  shall  be  returned  unless  the  Commission  shall,  for  good 
cause  shown,  authorize  such  return. 

S.  1.77  Failure  to  prosecute  applications  not  designated  for 
hearing  -  The  following  provisions  shall  apply  to  applications  which 
have  not  been  designated  for  hearing.  An  applicant  not  desiring  to 
prosecute  his  application  may  request  the  dismissal  of  same  without 
prejudice.  A  request  of  an  applicant  for  the  return  of  any  applica¬ 
tion  which  has  been  officially  filed  will  be  considered  as  a  request 
to  dismiss  the  same  without  prejudice.  Any  application  which  has  not 
been  designated  for  hearing  and  which  by  reason  of  failure  to  res¬ 
pond  to  official  correspondence  or  otherwise  is  subject  to  dismissal 
for  non-prose cution  will  be  dismissed  without  prejudice. 

XXXXXXXXXX 
GETS  LEAVE  TO  ASSIST  ROCKEFELLER 

James  W.  Young,  former  advertising  executive,  who  became 
Director  of  the  Bureau  of  Foreign  and  Domestic  Commerce  in  1939, 
has  been  granted  indefinite  leave  of  absence  by  Secretary  of  Commerce 

Id  esse  H.  Jones.  Mr.  Young  leaves  the  Commerce  Department  for  an 
indefinite  period  to  carry  out  his  duties  as  Chairman,  Communica¬ 
tions  Division,  of  the  office  of  Nelson  Rockefeller,  Coordinator  of 
Commercial  and  Cultural  Relations  between  the  American  Republics. 
Carroll  L.  Wilson,  Assistant  Director  of  the  Bureau,  wil _  become 
Acting  Director.  He  was  formerly  associated  with  Scudaer,  Stevens 
and  Clark,  New  York,  investment  counsel. 

XXXXXXXX 


11 


12/51/40 


SARNOFF  EXPRESSES  HOPE  IN  AMERICAN  INGENUITY 


Research  and  American  ingenuity  form  an  unbeatable  com¬ 
bination  for  the  advance  of  science  ,  David  darnoff,  President  of 
the  Radio  Corporation  of  America,  declared  in  a  year-end  statement. 

"Opportunities  for  radio  to  progress  are  as  unending  as 
the  years",  Mr.  Sarnoff  said.  "As  Time  turns  the  calendar  to  1941, 
the  New  Year  brings  promise  of  advances  all  along  the  line  of  com¬ 
munications.  Research  and  engineering,  working  with  such  forces  and 
tools  as  electrons  and  the  vacuum  tube,  can  be  depended  upon  to 
deliver  new  achievements  in  radio  within  the  year. 

"The  New  Year  inherits  from  the  Old,  new  and  powerful 
short-wave  transmitters,  prominent  among  them  two  modern  installa¬ 
tions  now  being  put  on  the  air  at  Bound  BrooK,  N.  J.,  by  the  Nation¬ 
al  Broadcasting  Company.  These  stations,  operating  with  directional 
beam  aerials,  are  designed  to  increase  the  dependability  and  clarity 
of  reception  throughout  Latin  America. 

For  home  reception  too,  American  broadcasters  constantly 
are  improving  their  transmitters  by  taking  advantage  of  the  latest 
devices.  An  outstanding  example  in  this  field  of  development  is 
WEAF's  new'  transmitter  at  Port  Washington,  Long  Island,  which  sprays 
its  clear-toned  waves  over  an  all-water  route  to  New  York  as  testi¬ 
mony  of  the  effectiveness  of  modern  radio. 

Experiments  in  television  and  frequency  modulation  will  be 
continued  as  the  engineers  test  new  devices  and  explore  the  possi¬ 
bilities  in  both  fields.  A  demonstration  of  large-screen  television 
in  a  New  York  theatre  is  one  of  the  early  prospects  of  the  New  Year. 
The  camera-eye  of  television  is  being  made  more  sensitive,  it  becomes 
effective  without  intense  illumination.  Through  research  on  improve¬ 
ment  of  the  optical  system,  progress  is  being  made  in  enlargement  of 
the  pictures  without  loss  of  definition. 

The  unfathomed  science  of  electronics  is  such  a  part  of 
radio  that  the  directions  in  which  it  may  advance  are  unlimited. 

Today  inventions  in  radio  are  spreading  their  usefulness  in  other 
industrial  fields.  Among  the  paramount  research  developments  of 
1940,  which  will  be  extended  to  1941,  is  the  electron  microscope 
developed  in  the  RCA  Laboratories. 

XXXXXXXXX 


12 


HEINL  RA®HJSIHESS_LETTER 

July 


ISSUED  TO 


Jul^-Dec.  l*t  4r0 


LIBRARY  of  the 
NATIONAL  BROADCASTING  CO.,  Inc. 

RCA  BUILDING 
30  ROCKEFELLER  PLAZA 

NEW  YORK,  N.  Y.